This quiz works best with JavaScript enabled. Home > Economics > Macroeconomics > Economic Growth > Economic Growth – Quiz 42 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Economic Growth Quiz 42 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. How does improved technology allow the economy to operate more efficiently? A) It enables people to work fewer hours. B) It ensures that all of the nation's resources will be used. C) It ensures that all of the nation's workers are employed. D) It helps to make better use of the nation's limited resources. Show Answer Correct Answer: D) It helps to make better use of the nation's limited resources. 2. In what way did white settlers misinterpret the Ghost Dance? A) They believed it was a preparation for war. B) They believed the Native Americans were finally adapting to white culture. C) They believed it was part of a buffalo hunt. D) They saw it as a way to honor the white settlers who brought the Iron Horse. Show Answer Correct Answer: A) They believed it was a preparation for war. 3. What best refers to a pattern in which economies with low per capita incomes grow faster than economies with high per capita incomes? A) Aggregate Production. B) Capital Deepening. C) Convergence. D) Productivity. Show Answer Correct Answer: C) Convergence. 4. What is one reason that a population ages? A) There is a rise in life expectancy. B) There is a rise in the birth rate. C) There is a drop in life expectancy. D) There is a rise in health care. Show Answer Correct Answer: A) There is a rise in life expectancy. 5. What was the cowboys' job? A) Their job was to entertain people as they traveled west watching rodeos. B) Their job was to steal cattle before it made it to market. C) Their job was to keep the herd together, protect the herd, and keep it moving. D) None of above. Show Answer Correct Answer: C) Their job was to keep the herd together, protect the herd, and keep it moving. 6. Suppose Congress passed a bill funding research into alternative sources of energy. What best describes this government action? A) Seeking gains in knowledge about the national economy. B) Monitoring and regulating banks and other financial institutions. C) Promoting innovation and invention to help maintain technological advantage. D) Seeking to prevent sudden, drastic shifts in prices. Show Answer Correct Answer: C) Promoting innovation and invention to help maintain technological advantage. 7. Investing in Health A) Human Capital. B) Capital Goods. Show Answer Correct Answer: A) Human Capital. 8. Which of the following acts of Congress contributed to an increase in settlement in the West by granting free land to individuals after they had lived on it for five years? A) The Homestead Act. B) The Morrill Land Grant Act. C) The Indian Removal Act. D) The Dawes Act. Show Answer Correct Answer: A) The Homestead Act. 9. GDP minus indirect taxes + subsidies is ..... A) GDP. B) GNI/GNP. C) NNI. D) GVA. Show Answer Correct Answer: D) GVA. 10. The spent money or a resource for some benefit in the future A) Investment. B) GDP. C) GDP per capita. D) Human capital. E) Relationship. Show Answer Correct Answer: A) Investment. 11. Turkey invests 3 percent of its GDP into education for its citizens-which productive resource is this an example of? A) Standard of Living. B) Capital goods. C) Human capital. D) Entrepreneurship. Show Answer Correct Answer: C) Human capital. 12. Why may an economy experience an increase in potential economic growth despite net investment remaining unchanged? A) Capital consumption exceeds net investment. B) Net investment exceeds gross investment. C) The new capital equipment embodies more advanced technology. D) The new capital equipment is longer lasting than the capital equipment it replaces. Show Answer Correct Answer: C) The new capital equipment embodies more advanced technology. 13. Vertical integration is when a company buys out the Resources (raw materials, fields, forests, and farms), Manufacturing (production and processing), and Distribution (shipping, transportation, delivery to customers). A) True. B) False. Show Answer Correct Answer: A) True. 14. Explain the concept of GDP and its significance in measuring economic growth. A) GDP measures the total value of all goods and services produced within a country's borders and is insignificant in measuring economic growth. B) GDP measures the total value of all goods and services produced within a country's borders and is significant in measuring economic growth. C) GDP measures the total value of all goods and services produced outside a country's borders and is insignificant in measuring economic growth. D) GDP measures the total value of all goods and services consumed within a country's borders and is significant in measuring economic growth. Show Answer Correct Answer: B) GDP measures the total value of all goods and services produced within a country's borders and is significant in measuring economic growth. 15. What is the impact of human capital on economic growth? A) Decreases economic growth. B) No impact on economic growth. C) Fluctuates economic growth. D) Increases economic growth. Show Answer Correct Answer: D) Increases economic growth. 16. If consumer spending is $ 10, exports are $ 5, government spending is $ 6, investment spending is $ 3, and imports are $ 1, what is GDP? A) $ 23. B) $ 24. C) $ 15. D) $ 20. Show Answer Correct Answer: A) $ 23. 17. What best refers to a process whereby an economy as a whole turns economic inputs such as human capital, physical capital, and technology into output measured as GDP per capita? A) Aggregate Production. B) Capital Deepening. C) Convergence. D) Productivity. Show Answer Correct Answer: A) Aggregate Production. 18. Who takes on the financial risk in starting a new business in a market economy? A) Consumers. B) Government planners. C) Individual business people. D) Combination of planners and investors. Show Answer Correct Answer: C) Individual business people. 19. What is one of the policy tools for promoting inclusive economic growth? A) Improved access to high-quality education. B) Reducing the national minimum wage. C) Limiting trade union power. D) Exploiting vulnerable groups. Show Answer Correct Answer: A) Improved access to high-quality education. 20. When the herd begins to run and can't be controlled, it is called a A) Avalanche. B) Ground quake. C) Torpedo. D) Stampede. Show Answer Correct Answer: D) Stampede. ← PreviousNext →Related QuizzesMacroeconomics QuizzesEconomics QuizzesEconomic Growth Quiz 1Economic Growth Quiz 2Economic Growth Quiz 3Economic Growth Quiz 4Economic Growth Quiz 5Economic Growth Quiz 6Economic Growth Quiz 7Economic Growth Quiz 8 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books