Econ Quiz 1

Which are examples of private property: computers belonging to your college, a farmers land in Soviet Russia, shares in a company, or a worker's skills?

1. computers belonging to your college 2. shares in a company

The GDP per capita of Greece was $22,494 in 2012 and $21,966 in 2013. Based on these figures, the growth rate of GDP between 2012 and 2013 (to two decimal places) was

-2.35%

Which are examples of markets: wartime food rationing, auction websites (eBay), touts selling tickets outside concert halls, sale of illegal arms?

1. auction websites (eBay) 2. touts selling tickets outside of concert halls 3. sale of illegal arms

What does UK GDP per capita measure?

the total output of the UK's economy, divided by the country's population

Variables following hockey-stick trajectory

GDP per capita, labour productivity, atmospheric CO2

Which of the following statements are correct? 1. Having much lower starting point in 1950 was the main reason for East Germany's poor performance compared to West Germany 2. The fact that Japan and West Germany have the highest GDP per capita in 1990 impies that they found the optimal economic system 3. Spain was able to grow at a higher growth rate than Germany between 1950 and 1990 4. The difference in East and West Germany's performance proves that capitalism always promotes rapid economic growth while central planning is a recipe for stagnation

Spain was able to grow at a higher rate than Germany between 1950-1990

Choose the correct answers: 1. The communist party rule in the former Soviet Union before 1990 was a complete failure 2. The contrasting performances of Botswana and Nigeria illustrate that rich natural resources alone do not guarantee higher economic growth, but that higher quality institutions may also be necessary 3. the impressive performance of South Korea's economy implies that other countries should copy their economic system 4. the evidence from the Russian federation and the former Soviet Union after 1990 shows that the replacement of central planning by capitalism oled to immediate economic growth

The contrasting performances of Botswana and Nigeria illustrate that rich natural resources alone do not guarantee higher economic growth, but that higher quality institutions may also be necessary

Linear Scale Graph/Ratio Scale Graph

linear = upward sloping curve with increasing slope (convex shape) ratio = upward sloping straight line