macro module 6

In 1870, the richest country in the world was a. The United States. b. Japan. c. The United Kingdom. d. Germany.

c. The United Kingdom.

The level of real GDP per person ​​​​​a. differs widely across countries, but the growth rate of real GDP per person is similar across countries. b. and the growth rate of real GDP per person are similar across countries. c. and the growth rate of real GDP per person vary widely across countries. ​​​​​​d. is very similar across countries, but the growth rate of real GDP per person differs widely across countries.

c. and the growth rate of real GDP per person vary widely across countries.

The United Kingdom is ​​​​​​a. a middle-income country, and over the past century its rate of economic growth has been higher than that of the United States. ​​​​​b. an advanced economy, and over the past century its rate of economic growth has been higher than that of the United States. ​​​​c. an advanced economy, and over the past century its rate of economic growth has been lower than that of the United States. d. a middle-income country, and over the past century its rate of economic growth has been lower than that of the United States.

​​​​c. an advanced economy, and over the past century its rate of economic growth has been lower than that of the United States.

The key determinant of the standard of living in a country is ​​​​​a. the amount of goods and services produced from each hour of a worker's time. b. the total amount of goods and services produced within the country. c. the total amount of its physical capital. ​​​​​​​d. its growth rate of real GDP.

​​​​​a. the amount of goods and services produced from each hour of a worker's time.

Productivity is the amount of goods and services a. an economy produces. It is not linked to a nation's economic policies. ​​​​​​b. an economy produces. It is linked to a nation's economic policies. c. produced for each hour of a worker's time. It is not linked to a nation's economic policies. ​​​​​d. produced for each hour of a worker's time. It is linked to a nation's economic policies.

​​​​​d. produced for each hour of a worker's time. It is linked to a nation's economic policies.

Out of the following economic statistics, which is the best measure of economic prosperity? ​​​​​​a. The level of real GDP b. The growth rate of real GDP ​​​​​​c. The level of nominal GDP ​​​​​​d. The price level

​​​​​​a. The level of real GDP

Japan is ​​​​​​a. an advanced economy, and over the past century its rate of economic growth has been lower than that of the United States. ​​​​​​b. an advanced economy, and over the past century its rate of economic growth has been higher than that of the United States. c. a middle-income country, and over the past century its rate of economic growth has been lower than that of the United States. ​​​​​​d. a middle-income country, and over the past century its rate of economic growth has been higher than that of the United States.

​​​​​​b. an advanced economy, and over the past century its rate of economic growth has been higher than that of the United States.

If your firm's production function has constant returns to scale, then if you double all your inputs, your firm's output will a. double and productivity will rise. ​​​​​​b. double but productivity will not change. ​​​​​​c. more than double and productivity will rise. ​​​​​​d. more than double but productivity will not change.

​​​​​​b. double but productivity will not change.

Which of the following is an example of human capital? a. The comfortable chair in your dorm room where you read economics texts ​​​​​​b. The amount you get paid each week to work at the library ​​​​​​c. The things you have learned this semester ​​​​​d. Any capital goods that require a human to be present to operate

​​​​​​c. The things you have learned this semester

An understanding of the best ways to produce goods and services is called ​​​​​​a. human capital. ​​​​​​b. physical capital. ​​​​​​c. technology. ​​​​​​d. productivity.

​​​​​​c. technology.

The key determinant of the standard of living in a country is ​​​​​​a. its growth rate of real GDP. ​​​​​b. the total amount of goods and services produced within the country. ​​​​​​c. the amount of goods and services produced from each hour of a worker's time. ​​​​​​d. the total amount of its physical capital.

​​​​​​c. the amount of goods and services produced from each hour of a worker's time.