Econ 202- Test 2

if an economy's GDP will double in 25 years, then its growth rate must be about:

2.8%

if the growth rate in an economy is 3.5%, then its GDP will double in about:

20 years

the government decides to subsidize the development of a new communications network. it is acting in its role to promote economic growth by:

enhancing physical and human capital

a legal system that enforces property rights is important to economic growth because:

legal protection of ideas and technologies gives people who innovate the ability to protect their work

According to Malthus, what part of the economy might increase at a rate such that the data would show an increase from 1,000 to 2,000 to 4,000 to 16,000

population

a stable financial system is important for all of the following reasons except

tax rate stability