Question 1

A rapid increase in the number of workers,other things the same,is likely in the short term to

Accepted Answer

A)   raise real GDP per person,but decrease real GDP.
B)   decrease both real GDP and real GDP per person.
C)   raise both real GDP and real GDP per person.
D)   raise real GDP,but decrease real GDP per person.E) All of the above
F) None of the above

Question 2

According to research by Robert Fogel,what proportion of the British population in 1780 was so malnourished that they could not perform manual labor?

Accepted Answer

A)   40 percent
B)   20 percent
C)   10 percent
D)   5 percentE) A) and C)
F) None of the above

Question 3

Countries that have lower levels of real GDP per person than the United States

Accepted Answer

A)   tend to have growth rates that are higher than that of the United States.
B)   tend to have growth rates that are about the same as that of the United States.
C)   tend to have growth rates that are lower than that of the United States.
D)   in some cases have growth rates that are higher than that of the United States and in other cases lower than that of the United States.E) A) and B)
F) C) and D)

Question 4

Which of the following best describes the response of output as time passes to an increase in the saving rate?

Accepted Answer

A)   The growth rate of output does not change.
B)   The growth rate of output increases and gets even larger as time passes.
C)   The growth rate of output increases and does not change as time passes.
D)   The growth rate of output increases,but diminishes to its former level as time passes.E) B) and D)
F) B) and C)

Question 5

Which of the following is correct?

Accepted Answer

A)   Over the last 100 years Japan had a higher average growth rate than the United States.It follows that,today,the standard of living in Japan is higher than in the United States.
B)   The typical person in Bangladesh today has about twice the real income of a typical American 100 years ago.
C)   The typical citizen of China today has about one-half as much real income as the typical citizen of America today.
D)   None of the above is correct.E) A) and D)
F) A) and B)

Question 6

Which of the following would be considered physical capital?

Accepted Answer

A)   the refrigerators at Uncle Bob's restaurant
B)   rivers on which goods are transported
C)   the skills and knowledge of a lawyer
D)   All of the above are correct.E) C) and D)
F) A) and C)

Question 7

Last year real GDP in the imaginary nation of Oceania was 561.0 billion and the population was 2.2 million.The year before,real GDP was 500.0 billion and the population was 2.0 million.What was the growth rate of real GDP per person during the year?

Accepted Answer

A)   12 percent
B)   10 percent
C)   4 percent
D)   2 percentE) C) and D)
F) All of the above

Question 8

Productivity is defined as

Accepted Answer

A)   the amount of difficulty that is involved in producing a given quantity of goods and services.
B)   the quantity of labor that is required to produce one unit of goods and services.
C)   the quantity of goods and services produced from each unit of labor input.
D)   the quantity of goods and services produced over a given amount of time.E) None of the above
F) All of the above

Question 9

Which of the following is indicated by the data on real income per person for various countries over the past 100 or so years?

Accepted Answer

A)   If,in a relatively poor country,real income per person had grown by 3.5 percent per year for the last 100 years,it would be a relatively rich country today.
B)   Rich countries became richer and poor countries became poorer.
C)   In the United States,real income per person today is about four times as high as it was 100 years ago.
D)   All of the above are correct.E) A) and B)
F) None of the above

Question 10

The quantity of goods and services produced from each unit of labor input is called

Accepted Answer

A)   standard of living.
B)   productivity.
C)   capitalized quantity.
D)   the knowledge base.E) B) and D)
F) C) and D)

Question 11

Which of the following statements is true?

Accepted Answer

A)   The quantity of natural resources per worker can influence productivity.
B)   Technological knowledge and human capital are closely related.
C)   Over long periods of time,the prices of most natural resources are stable or falling,relative to other prices.
D)   All of the above are correct.E) All of the above
F) C) and D)

Question 12

Which of the following is considered human capital?

Accepted Answer

A)   knowledge acquired from early childhood education programs
B)   knowledge acquired from grade school
C)   knowledge acquired from on-the-job training
D)   All of the above are correct.E) B) and C)
F) A) and B)

Question 13

If there are diminishing returns to capital,then

Accepted Answer

A)   capital produces fewer goods as it ages.
B)   old ideas are not as useful as new ones.
C)   increases in the capital stock eventually decrease output.
D)   increases in the capital stock increase output by ever smaller amounts.E) A) and D)
F) A) and C)

Question 14

In countries where women are discriminated against,policies that increase the likelihood of career success and educational opportunities for women are likely to decrease the birth rate.

Accepted Answer

A) True 
 B)False

Question 15

Incentives for parents to send their children to school,such as small monthly payments to parents if their children have regular attendance,appear to increase school attendance.

Accepted Answer

A) True 
 B)False

Question 16

Industrial machinery is an example of

Accepted Answer

A)   a factor of production that in the past was an output from the production process.
B)   technological knowledge.
C)   a production function.
D)   an item which always has the property called constant returns to scale.E) B) and D)
F) B) and C)

Question 17

Which of the following is an example of a renewable natural resource?

Accepted Answer

A)   the knowledge possessed by scientists
B)   carpenters' labor services
C)   lumber
D)   All of the above are correct.E) A) and B)
F) A) and C)

Question 18

Which of the following is human capital?

Accepted Answer

A)   a student loan
B)   understanding how to use a company's accounting software
C)   training videos for new corporate employees
D)   All of the above are correct.E) All of the above
F) None of the above

Question 19

Which of the following lists contains,in this order,natural resources,human capital,and physical capital?

Accepted Answer

A)   For a restaurant: the land the restaurant was built on,the things the Chef learned at Cooking School,the freezers where the chops and steaks are kept.
B)   For a furniture company: wood,the company cafeteria,saws.
C)   For a railroad: fuel,railroad engines,railroad tracks.
D)   None of the above is correct.E) All of the above
F) B) and C)

Question 20

Other things equal,relatively poor countries tend to grow

Accepted Answer

A)   slower than relatively rich countries;this is called the poverty trap.
B)   slower than relatively rich countries;this is called the fall-behind effect.
C)   faster than relatively rich countries;this is called the catch-up effect.
D)   faster than relatively rich countries;this is called the constant-returns-to-scale effect.E) B) and C)
F) C) and D)

Exam 25: Production and Growth

Which of the following would be considered physical capital?

Correct AnswerverifiedShow Answer

If there are diminishing returns to capital,then

Correct AnswerverifiedShow Answer

Industrial machinery is an example of

Correct AnswerverifiedShow Answer

In countries where women are discriminated against,policies that increase the likelihood of career success and educational opportunities for women are likely to decrease the birth rate.

Correct AnswerverifiedShow Answer

Incentives for parents to send their children to school,such as small monthly payments to parents if their children have regular attendance,appear to increase school attendance.

Correct AnswerverifiedShow Answer

Which of the following best describes the response of output as time passes to an increase in the saving rate?

Correct AnswerverifiedShow Answer

Other things equal,relatively poor countries tend to grow

Correct AnswerverifiedShow Answer

Which of the following is indicated by the data on real income per person for various countries over the past 100 or so years?

Correct AnswerverifiedShow Answer

Which of the following lists contains,in this order,natural resources,human capital,and physical capital?

Correct AnswerverifiedShow Answer

Productivity is defined as

Correct AnswerverifiedShow Answer

According to research by Robert Fogel,what proportion of the British population in 1780 was so malnourished that they could not perform manual labor?

Correct AnswerverifiedShow Answer

The quantity of goods and services produced from each unit of labor input is called

Correct AnswerverifiedShow Answer

Which of the following is considered human capital?

Correct AnswerverifiedShow Answer

A rapid increase in the number of workers,other things the same,is likely in the short term to

Correct AnswerverifiedShow Answer

Which of the following statements is true?

Correct AnswerverifiedShow Answer

Which of the following is human capital?

Correct AnswerverifiedShow Answer

Countries that have lower levels of real GDP per person than the United States

Correct AnswerverifiedShow Answer

Which of the following is correct?

Correct AnswerverifiedShow Answer

Last year real GDP in the imaginary nation of Oceania was 561.0 billion and the population was 2.2 million.The year before,real GDP was 500.0 billion and the population was 2.0 million.What was the growth rate of real GDP per person during the year?

Correct AnswerverifiedShow Answer

Which of the following is an example of a renewable natural resource?

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified