Question 1

Refer to the information provided in Table 16.2 below to answer the questions that follow.
Table 16.2
  
-Refer to Table 16.2. During Period 1, labor productivity is equal to

Accepted Answer

A)  0.25. 
B)  1.0. 
C)  2.0. 
D)  4.0. 
A)  0.25. 
B)  1.0. 
C)  2.0. 
D)  4.0.

Question 2

A company uses 200 workers and 50 units of capital to produce 1,000 units of output. Its average labor productivity is

Accepted Answer

A)  4. 
B)  5. 
C)  20. 
D)  25. 
A)  4. 
B)  5. 
C)  20. 
D)  25.

Question 3

Refer to the information provided in Table 16.2 below to answer the questions that follow.
Table 16.2
  
-Refer to Table 16.2. During Period 2, labor productivity is equal to

Accepted Answer

A)  0.23. 
B)  0.51. 
C)  1.95. 
D)  4.3. 
A)  0.23. 
B)  0.51. 
C)  1.95. 
D)  4.3.

Question 4

Refer to the information provided in Figure 16.1 below to answer the questions that follow.   Figure 16.1
-Refer to Figure 16.1. Technological progress will cause a

Accepted Answer

A)  movement from Point A to Point B. 
B)  movement from Point B to Point A. 
C)  shift from ppf2 to ppf1. 
D)  shift from ppf2 to ppf3. 
A)  movement from Point A to Point B. 
B)  movement from Point B to Point A. 
C)  shift from ppf2 to ppf1. 
D)  shift from ppf2 to ppf3.

Question 5

A weakness in the ________ study entitled The Limits to Growth is that it did not account for technological change.

Accepted Answer

A)  the Fed's 
B)  the Club of Rome's 
C)  the European Union's 
D)  the World Bank's 
A)  the Fed's 
B)  the Club of Rome's 
C)  the European Union's 
D)  the World Bank's

Question 6

The Millennium Development Goals adopted by the United Nations included environmental criteria.

Accepted Answer

A) True 
 B)False

Question 7

According to predictions made by ________ in 1972, the collapse of the world economy will occur because of the depletion of nonrenewable resources.

Accepted Answer

A)  the Fed 
B)  the Club of Rome 
C)  the European Union 
D)  the World Bank 
A)  the Fed 
B)  the Club of Rome 
C)  the European Union 
D)  the World Bank

Question 8

Technological progress shifts the production possibility curve away from the origin.

Accepted Answer

A) True 
 B)False

Question 9

A decrease in human capital will increase output.

Accepted Answer

A) True 
 B)False

Question 10

An important source of increasing productivity is

Accepted Answer

A)  an increase in the ratio of capital to labor. 
B)  an increase in the ratio of labor to capital. 
C)  a decrease in the ratio of capital to labor. 
D)  faster growth in the labor force than in the capital stock. 
A)  an increase in the ratio of capital to labor. 
B)  an increase in the ratio of labor to capital. 
C)  a decrease in the ratio of capital to labor. 
D)  faster growth in the labor force than in the capital stock.

Question 11

Innovation is another word for invention.

Accepted Answer

A) True 
 B)False

Question 12

Disembodied technical change results in

Accepted Answer

A)  a change in the production process. 
B)  embodied technical change. 
C)  population growth. 
D)  an increase in the labor supply. 
A)  a change in the production process. 
B)  embodied technical change. 
C)  population growth. 
D)  an increase in the labor supply.

Question 13

An increase in capital stock

Accepted Answer

A)  enhances labor productivity. 
B)  provides valuable services directly. 
C)  causes economic growth. 
D)  all of the above 
A)  enhances labor productivity. 
B)  provides valuable services directly. 
C)  causes economic growth. 
D)  all of the above

Question 14

Which of the following caused the productivity problem of the 1970s in the U.S.?

Accepted Answer

A)  low saving rate 
B)  increased governmental regulations 
C)  low spending on research and development 
D)  all of the above 
A)  low saving rate 
B)  increased governmental regulations 
C)  low spending on research and development 
D)  all of the above

Question 15

If a society gets more capital, its production possibility curve increases.

Accepted Answer

A) True 
 B)False

Question 16

If labor productivity in a copper mine is 2.5 tons per worker, then 200 copper miners with a fixed amount of capital produce

Accepted Answer

A)  125 tons. 
B)  275 tons. 
C)  450 tons. 
D)  500 tons. 
A)  125 tons. 
B)  275 tons. 
C)  450 tons. 
D)  500 tons.

Question 17

Output growth is defined as the growth rate of output

Accepted Answer

A)  per person in the economy. 
B)  per worker in the economy. 
C)  for capitalist economies. 
D)  of the entire economy. 
A)  per person in the economy. 
B)  per worker in the economy. 
C)  for capitalist economies. 
D)  of the entire economy.

Question 18

Output growth is the growth rate of output of the entire economy.

Accepted Answer

A) True 
 B)False

Question 19

In Polynomia, real GDP increased by 8% and the population increased by 3% in 2016. In 2016, Polynomia experienced

Accepted Answer

A)  economic growth, but not an increase in living standards. 
B)  economic growth and an increase in living standards. 
C)  no economic growth, but an increase in living standards. 
D)  an economic decline. 
A)  economic growth, but not an increase in living standards. 
B)  economic growth and an increase in living standards. 
C)  no economic growth, but an increase in living standards. 
D)  an economic decline.

Question 20

Which of the following was one of the likely causes of the productivity problem in the 1970s?

Accepted Answer

A)  a reduction in government regulation 
B)  increased research and development spending 
C)  an increase in investment spending 
D)  low saving rates 
A)  a reduction in government regulation 
B)  increased research and development spending 
C)  an increase in investment spending 
D)  low saving rates

Exam 16: Long-Run Growth

Refer to the information provided in Table 16.2 below to answer the questions that follow. Table 16.2 -Refer to Table 16.2. During Period 1, labor productivity is equal to

A company uses 200 workers and 50 units of capital to produce 1,000 units of output. Its average labor productivity is

Refer to the information provided in Table 16.2 below to answer the questions that follow. Table 16.2 -Refer to Table 16.2. During Period 2, labor productivity is equal to

Refer to the information provided in Figure 16.1 below to answer the questions that follow. Figure 16.1 -Refer to Figure 16.1. Technological progress will cause a

A weakness in the ________ study entitled The Limits to Growth is that it did not account for technological change.

The Millennium Development Goals adopted by the United Nations included environmental criteria.

According to predictions made by ________ in 1972, the collapse of the world economy will occur because of the depletion of nonrenewable resources.

Technological progress shifts the production possibility curve away from the origin.

A decrease in human capital will increase output.

An important source of increasing productivity is

Innovation is another word for invention.

Disembodied technical change results in

An increase in capital stock

Which of the following caused the productivity problem of the 1970s in the U.S.?

If a society gets more capital, its production possibility curve increases.

If labor productivity in a copper mine is 2.5 tons per worker, then 200 copper miners with a fixed amount of capital produce

Output growth is defined as the growth rate of output

Output growth is the growth rate of output of the entire economy.

In Polynomia, real GDP increased by 8% and the population increased by 3% in 2016. In 2016, Polynomia experienced

Which of the following was one of the likely causes of the productivity problem in the 1970s?

The Scope and Method of Economics

The Economic Problem: Scarcity and Choice

Demand, Supply, and Market Equilibrium

Demand and Supply Applications

Introduction to Macroeconomics

Measuring National Output and National Income

Unemployment, Inflation, and Long-Run Growth

Aggregate Expenditure and Equilibrium Output

The Government and Fiscal Policy

Money, the Federal Reserve, and the Interest Rate

The Determination of Aggregate Output, the Price Level, and the Interest Rate

Policy Effects and Cost Shocks in the Asad Model

The Labor Market in the Macroeconomy

Financial Crises, Stabilization, and Deficits

Household and Firm Behavior in the Macroeconomy: a Further Look

Alternative Views in Macroeconomics

International Trade, Comparative Advantage, and Protectionism

Open-Economy Macroeconomics: the Balance of Payments and Exchange Rates

Economic Growth in Developing Economies

Critical Thinking About Research

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