Question 1

Measured in 2008 dollars,real GDP per person in the United States in 2008 was about

Accepted Answer

A)   $37,000.
B)   $47,000.
C)   $57,000.
D)   $67,000.E) B) and C)
F) B) and D)

Question 2

Because of __________,an increase in the saving rate leads to higher growth of income and productivity only for a while.

Accepted Answer

The answer of Because of __________,an increase in the saving...

Question 3

Malthus predicted that the power of population

Accepted Answer

A)   was greater than the power of the earth to produce subsistence.His forecast was on the mark.
B)   was greater than the power of the earth to produce subsistence.His forecast was off the mark.
C)   was less than the power of the earth to produce subsistence.His forecast was on the mark.
D)   was less than the power of the earth to produce subsistence.His forecast was off the mark.E) A) and C)
F) C) and D)

Question 4

Countries that pursued outward-oriented policies in the 20th century

Accepted Answer

A)   experienced lower rates of economic growth than did countries that pursued inward-oriented policies.
B)   experienced higher levels of political instability than did countries that pursued inward-oriented policies.
C)   include Singapore,South Korea,and Taiwan.
D)   All of the above are correct.E) None of the above
F) All of the above

Question 5

Over the last 100 years which of the following had growth rates higher than that of the United States?

Accepted Answer

A)   the United Kingdom
B)   India
C)   Mexico
D)   None of the above is correct.E) B) and C)
F) A) and D)

Question 6

The United Kingdom is

Accepted Answer

A)   an advanced economy,and over the past century its rate of economic growth has been higher than that of the United States.
B)   an advanced economy,and over the past century its rate of economic growth has been lower than that of the United States.
C)   a middle-income country,and over the past century its rate of economic growth has been higher than that of the United States.
D)   a middle-income country,and over the past century its rate of economic growth has been lower than that of the United States.E) B) and C)
F) A) and D)

Question 7

The one variable that stands out as the most significant explanation of large variations in living standards around the world is

Accepted Answer

A)   productivity.
B)   population.
C)   preferences.
D)   prices.E) A) and D)
F) B) and C)

Question 8

Which of the following is correct?

Accepted Answer

A)   Over the last 100 years Japan had a higher average growth rate than the United States.It follows that,today,the standard of living in Japan is higher than in the United States.
B)   The typical person in Bangladesh today has about twice the real income of a typical American 100 years ago.
C)   The typical citizen of China today has about one-half as much real income as the typical citizen of America today.
D)   None of the above is correct.E) B) and D)
F) B) and C)

Question 9

A nation's standard of living is best measured by its

Accepted Answer

A)   real GDP.
B)   real GDP per person.
C)   nominal GDP.
D)   nominal GDP per person.E) All of the above
F) A) and B)

Question 10

Fretonia and Libstien are the same except Fretonia has a larger capital stock.Both countries undertake policies that raise their saving rates to the same higher level.We would expect that

Accepted Answer

A)   both countries would have permanent increases in their growth rates,but the increase would initially be larger in Fretonia.
B)   both countries would have permanent increases in their growth rates,but the increase would initially be smaller in Fretonia.
C)   both countries would have temporary increases in their growth rates,but the increase would be larger in Fretonia.
D)   both countries would have temporary increases in their growth rates,but the increase would be smaller in Fretonia.E) A) and B)
F) None of the above

Question 11

If your firm's production function has constant returns to scale,and if you double all your inputs,then your firm's productivity will

Accepted Answer

A)   not change.
B)   increase but not double.
C)   double.
D)   more than double.E) All of the above
F) A) and D)

Question 12

What is a production function? Write an equation for a typical production function,and explain what each of the terms represents.

Accepted Answer

A production function is a mathematical ...

Question 13

If your company opens and operates a branch in a foreign country,your company engages in foreign direct investment.

Accepted Answer

A) True 
 B)False

Question 14

Proprietary technology is technology that is

Accepted Answer

A)   widely used because it is easy to learn.
B)   widely used because the government subsidizes its use.
C)   not widely used because people could,but have not,taken the time to learn how to apply it.
D)   not widely used because it is known or controlled only by the company that discovered it.E) A) and B)
F) B) and C)

Question 15

How do outward-oriented policies affect a nation's productivity?

Accepted Answer

Most economists believe that poor nation...

Question 16

In 2009,the imaginary nation of Florastan had a population of 8,300 and real GDP of 190,900.Florastan had 5% growth in real GDP per person.In 2010 it had a population of 8,400.What was real GDP in Florastan in 2010?

Accepted Answer

A)   200,445
B)   202,860
C)   198,059
D)   None of the above is correct.E) A) and B)
F) All of the above

Question 17

Figure 12-1.On the horizontal axis,K/L represents capital (K) per worker (L) .On the vertical axis,Y/L represents output (Y) per worker (L) . 
-Refer to Figure 12-1.Choose a point anywhere on the curve and call it point A.If the economy is at point A in 2011,then it will definitely remain at point A in 2012 if,between 2011 and 2012,

Accepted Answer

A)   the quantity of physical capital remains constant;the number of workers doubles;and human capital,natural resources,and technology all double as well.
B)   the quantity of physical capital doubles;human capital,natural resources,and technology all double as well;and the number of workers remains constant.
C)   the quantity of physical capital doubles;the number of workers doubles;and human capital,natural resources,and technology all double as well.
D)   the quantity of physical capital doubles;the number of workers doubles;and human capital,natural resources,and technology remain constant.E) B) and C)
F) A) and D)

Question 18

Suppose there are constant returns to scale.Now suppose that over time a country doubles its workers,its natural resources,its physical capital,and its human capital,but its technology is unchanged.Which of the following would double?

Accepted Answer

A)   both output and productivity
B)   output,but not productivity
C)   productivity,but not output
D)   neither productivity nor outputE) A) and B)
F) A) and C)

Question 19

Last year a country had 800 workers who worked an average of 8 hours and produced 12,800 units.This year the same country had 1000 workers who worked an average of 8 hours and produced 14,000 units.This country's productivity was

Accepted Answer

A)   higher this year than last year.A possible source of this change in productivity is a change in the size of the capital stock.
B)   higher this year than last year.A change in the size of the capital stock does not affect productivity.
C)   lower this year than last year.A possible source of this change in productivity is a change in the size of the capital stock.
D)   lower this year than last year.A change in the size of the capital stock does not affect productivity.E) All of the above
F) B) and D)

Question 20

What are inward-oriented policies? Do most economists recommend these types of policies to poor countries?

Accepted Answer

Inward-oriented policies are i...

Exam 25: Production and Growth

Over the last 100 years which of the following had growth rates higher than that of the United States?

Correct Answer
verified

Last year a country had 800 workers who worked an average of 8 hours and produced 12,800 units.This year the same country had 1000 workers who worked an average of 8 hours and produced 14,000 units.This country's productivity was

Correct Answer
verified

Suppose there are constant returns to scale.Now suppose that over time a country doubles its workers,its natural resources,its physical capital,and its human capital,but its technology is unchanged.Which of the following would double?

Correct Answer
verified

The one variable that stands out as the most significant explanation of large variations in living standards around the world is

Correct Answer
verified

How do outward-oriented policies affect a nation's productivity?

Correct Answer
verified
Most economists believe that poor nation...
View Answer

Proprietary technology is technology that is

Correct Answer
verified

Because of __________,an increase in the saving rate leads to higher growth of income and productivity only for a while.

Correct Answer
verified

If your firm's production function has constant returns to scale,and if you double all your inputs,then your firm's productivity will

Correct Answer
verified

Fretonia and Libstien are the same except Fretonia has a larger capital stock.Both countries undertake policies that raise their saving rates to the same higher level.We would expect that

Correct Answer
verified

Measured in 2008 dollars,real GDP per person in the United States in 2008 was about

Correct Answer
verified

Correct Answer
verified

In 2009,the imaginary nation of Florastan had a population of 8,300 and real GDP of 190,900.Florastan had 5% growth in real GDP per person.In 2010 it had a population of 8,400.What was real GDP in Florastan in 2010?

Correct Answer
verified

Which of the following is correct?

Correct Answer
verified

Malthus predicted that the power of population

Correct Answer
verified

What are inward-oriented policies? Do most economists recommend these types of policies to poor countries?

Correct Answer
verified
Inward-oriented policies are i...
View Answer

If your company opens and operates a branch in a foreign country,your company engages in foreign direct investment.

Correct Answer
verified

A nation's standard of living is best measured by its

Correct Answer
verified

Countries that pursued outward-oriented policies in the 20th century

Correct Answer
verified

What is a production function? Write an equation for a typical production function,and explain what each of the terms represents.

Correct Answer
verified
A production function is a mathematical ...
View Answer

The United Kingdom is

Correct Answer
verified

Exam 25: Production and Growth

Over the last 100 years which of the following had growth rates higher than that of the United States?

Correct AnswerverifiedShow Answer

Last year a country had 800 workers who worked an average of 8 hours and produced 12,800 units.This year the same country had 1000 workers who worked an average of 8 hours and produced 14,000 units.This country's productivity was

Correct AnswerverifiedShow Answer

Suppose there are constant returns to scale.Now suppose that over time a country doubles its workers,its natural resources,its physical capital,and its human capital,but its technology is unchanged.Which of the following would double?

Correct AnswerverifiedShow Answer

The one variable that stands out as the most significant explanation of large variations in living standards around the world is

Correct AnswerverifiedShow Answer

How do outward-oriented policies affect a nation's productivity?

Correct AnswerverifiedMost economists believe that poor nation...View AnswerShow Answer

Proprietary technology is technology that is

Correct AnswerverifiedShow Answer

Because of __________,an increase in the saving rate leads to higher growth of income and productivity only for a while.

Correct AnswerverifiedShow Answer

If your firm's production function has constant returns to scale,and if you double all your inputs,then your firm's productivity will

Correct AnswerverifiedShow Answer

Fretonia and Libstien are the same except Fretonia has a larger capital stock.Both countries undertake policies that raise their saving rates to the same higher level.We would expect that

Correct AnswerverifiedShow Answer

Measured in 2008 dollars,real GDP per person in the United States in 2008 was about

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

In 2009,the imaginary nation of Florastan had a population of 8,300 and real GDP of 190,900.Florastan had 5% growth in real GDP per person.In 2010 it had a population of 8,400.What was real GDP in Florastan in 2010?

Correct AnswerverifiedShow Answer

Which of the following is correct?

Correct AnswerverifiedShow Answer

Malthus predicted that the power of population

Correct AnswerverifiedShow Answer

What are inward-oriented policies? Do most economists recommend these types of policies to poor countries?

Correct AnswerverifiedInward-oriented policies are i...View AnswerShow Answer

If your company opens and operates a branch in a foreign country,your company engages in foreign direct investment.

Correct AnswerverifiedShow Answer

A nation's standard of living is best measured by its

Correct AnswerverifiedShow Answer

Countries that pursued outward-oriented policies in the 20th century

Correct AnswerverifiedShow Answer

What is a production function? Write an equation for a typical production function,and explain what each of the terms represents.

Correct AnswerverifiedA production function is a mathematical ...View AnswerShow Answer

The United Kingdom is

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
Most economists believe that poor nation...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
Inward-oriented policies are i...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
A production function is a mathematical ...
View Answer

Correct Answer
verified