Econ Final C7

If an economy is growing at 10%, how long will it take for $1,000 to turn into $4,000? 28 years 7 years 21 years 14 years

14 years

Unanticipated _____ is detrimental to economic growth. inflation or deflation Neither inflation nor deflation is detrimental to economic growth. inflation deflation

Inflation or deflation

A production function says output per worker equals A × f(L/L, K/L, H/L, N/L) and tells us all of these EXCEPT _____ will lead to a better standard of living. more human capital more natural resources more people increases in capital

More People

According to the table, which country will have the lowest real GDP per capita in 23.67 years? |Ecoland|Macia|Nomia|Coland/ Real GDP per Capita|10,000|22,000|28,000|30,000/ Growth Rate GDP | 12%| 6%| 3%| 3%| Ecoland Macia Coland Nomia

Nomia

Which situation indicates that total output in a country has grown the most when the starting output is the same in all situations? Output per worker grows by 10% while the labor force grows by 10%. Output per worker grows by 11% while the labor force remains constant. Output per worker grows by 4% while the labor force grows by 12%. Output per worker remains constant while the labor force grows by 11%.

Output per worker grows by 10% while the labor force grows by 10%.

Which change is likely to increase wages the MOST in a country? Drainage of swampy land allows 2% more land to be farmed. The labor force grows by 2%. Since the growth rate is 2% in all listed situations, wages would increase equally in all of them. The capital-to-labor ratio rises by 2%.

The capital-to-labor ratio rises by 2%.

In which situation is a country LEAST likely to be producing on its production possibilities curve? The land is dry and has low productivity in farming. There are legal disputes over the ownership of 15% of the factory buildings in the country. The average education level is of the fourth grade. There are large legal penalties for breaking a contract.

There are legal disputes over the ownership of 15% of the factory buildings in the country.

If your goal was to have the largest amount of money in your bank account as possible in two years, which option would you choose? (Assume that the beginning deposit and all interest earnings remain in the account for the full two years.) a beginning deposit of $950, earning 5% per year a beginning deposit of $1,000, earning 4% per year a beginning deposit of $930, earning 8% per year a beginning deposit of $1,010, earning 3% per year

a beginning deposit of $930, earning 8% per year

Which event would NOT be included in total factor productivity measurements? a severe military conflict that restricts daily movements of labor and capital an earthquake that disrupts a country's production for several weeks an unexpected breakthrough in GPS technology that enhances transportation a large investment in physical capital that makes labor more productive

a large investment in physical capital that makes labor more productive

Thomas Malthus believed that the geometric growth of the population and the arithmetic growth of the food supply would never be altered. False True

True