AP Macroeconomics Ch. 24

if the standard of living increases, we can conclude that

output must have increased proportionally more than population.

if real GDP per capita grows at a rate of 10% a year, then we can expect the standard of living to double in

7 years

the size of the labor force in Japan is expected to shrink beginning in 2010 as a large segment of its population retires, this will

affect economic growth more than labor productivity

private industry can promote economic growth by

implementing innovative production techniques

an increase in labor productivity would most likely cause real GDP and the price level to change in which of the following ways?

increase, decrease

output in country x is 30,000 units and there are 3,000 persons working, while country z has an output of 40,000 units and 8,000 workers

the productivity of labor in country x is twice as much as country z.

output in country a is 1,200 units and its population is 100 persons. output in country b is 2,400 units and its population is 400 persons.

country a has a higher standard of living than country b.

economic growth is

critical in determining the standard of living in a nation

economic growth occurs when

the economy's productive capacity increases

only 2 resources, capital and labor, are used in an economy to produce an output of 30 million units. if the total cost of capitol resources is $150 million and the total cost of labor costs in this economy are

$0.67 million

if the real output of an economy were to increase from $2000 billion to $2100 billion in 1 year, the rate of growth of real output during that year would be

5%

the price of a good has doubled in about 14 years. the approx annual percentage rate of increase in the price level over this period has been

5%

if real GDP per capita was $10,000 in 1990 and $15,000 in 2000, then the amount of economic growth is

50%

the standard of living will increase if

RGDP increases at a greater rate than the population.

the standard of living is measured by

RGDP per capita

which of the following will promote economic growth?

a new production technique that lowers costs.

which of the following will promote economic growth?

an increase in the amount of capital

which of the following will result in economic growth?

an increase in the size of the labor force

as disposable income decreases, cetaris paribus

both consumption and saving decrease

the government can promote economic growth by

job training programs

which of the costs of inflation does the following statement illustrate? "When there is inflation, grocery stores have to update the prices associated with the bar codes on their products."

menu costs

which of the following is a government policy to promote growth?

providing public education