econ quiz 6

Japan's status as a rich nation is attributable to -Japan's quantities of natural resources, but not to international trade. -international trade, but not to Japan's domestic quantities of natural resources. -the fact the Japanese productivity has remained nearly constant for more than 100 years. -the fact that Japanese have downplayed the role of human capital in economic growth.

international trade, but not to Japan's domestic quantities of natural resources.

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

-produces for each hour of a worker's time. It is linked to a nation's economic policies.

"When workers already have a large quantity of capital to use in producing goods and service, giving them an additional unit of capital increases their productivity only slightly." This Statement -represents the traditional view of the production process. -is an assertion that capital is subject to diminishing returns. -is made under the assumption that the quantities of human capital, natural resources, and technology are being held constant. -All of the above are correct.

All of the above are correct.

Which of the following statements is correct? -In the late 1800s, real GDP per person was higher in the United Kingdom than in the United States. -In 2014, real GDP per person was higher in the United Kingdom than in the United States. -The average annual growth rate of real GDP was higher in the United Kingdom than in the United States between the late 1800s and 2014. -All of the above are correct.

In the late 1800s, real GDP per person was higher in the United Kingdom than in the United States.

Other things equal, relatively poor countries tend to grow -slower than relatively rich countries; that is called the poverty trap. -slower than relatively rich countries; this is called the fall-behind effect. -faster than relatively rich countries; this is called the catch-up effect. -faster than relatively rich countries; this is called the constant-returns-to-scale effect.

faster than relatively rich countries; this is called the catch-up effect.

In determining living standards, productivity plays a key role. -for individuals, but not for nations. -for nations, but not for individuals. -for both nations and individuals. -for neither nations nor individuals.

for both nations and individuals.

Perry accumulated a lot of mathematical skills while in high school, college, and graduate school. Economists include these skills as part of Perry's -proprietary knowledge. -technological knowledge. -human capital. -physical capital.

human capital.

The equipment and structures available to produce goods and services are called -physical capital. -human capital. -the production function. -technology.

physical capital.

Suppose that a new government is elected in Eurnesia. The new government takes steps toward improving the court system and reducing government corruption. The citizens of Eurnesia find these effects credible and outsiders believe these changes will be effective and long lasting. The changes will probably -raise real GDP per person and productivity in Eurnesia -raise real GDP per person but not productivity in Eurnesia. -raise productivity but not real GDP per person in Eurnesia. -raise neither productivity nor real GDP per person in Eurnesia.

raise real GDP per person and productivity in Eurnesia

A nation's standard of living is best measured by its -real GDP. -real GDP per person. -nominal GDP. -nominal GDP per person.

real GDP per person.