This quiz works best with JavaScript enabled. Home > Economics > Macroeconomics > Economic Growth > Economic Growth – Quiz 8 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Economic Growth Quiz 8 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. How does human capital influence economic growth? A) When a workforce is trained for their job, more people will buy goods or services from the business. B) When a workforce is trained for their job, less people will buy goods and products from the business. C) It does not matter if the workforce is trained for their job. D) None of above. Show Answer Correct Answer: A) When a workforce is trained for their job, more people will buy goods or services from the business. 2. Act of combining productive resources to make goods and services A) Literacy rate. B) Natural resources. C) Human capital. D) Production. Show Answer Correct Answer: D) Production. 3. What are the benefits of economic growth for consumers? A) Decrease in consumer confidence. B) Higher levels of demand-pull inflation. C) Higher average consumer income. D) More shoe leather costs. Show Answer Correct Answer: C) Higher average consumer income. 4. What is human capital? A) Materials that are a source of wealth-gifts from nature. B) The value that people bring to the work force. C) Tools that make other goods. D) None of above. Show Answer Correct Answer: B) The value that people bring to the work force. 5. Which of the following is an injection into the circular flow of income? A) Money. B) Savings. C) Investment. D) Imports. Show Answer Correct Answer: C) Investment. 6. Doubling L is likely to: A) Increase the relative price of the intensity product L. B) Reduce the relative value of the intensity product K. C) Reduce the relative value of the intensity product L. D) Any of the above. Show Answer Correct Answer: C) Reduce the relative value of the intensity product L. 7. The talents, skills, and labor of people that can be used toproduce goods and services A) Human capital. B) Americas Got Talent. C) Skills. D) Work force united. Show Answer Correct Answer: A) Human capital. 8. What are some challenges to achieving economic development in developing countries? A) Lack of infrastructure, limited access to capital and financial services, political instability, corruption, inadequate education and healthcare systems, and high levels of poverty and inequality. B) Lack of market opportunities, inadequate infrastructure, cultural barriers. C) High population growth, inadequate government policies, lack of skilled workforce. D) Lack of natural resources, limited access to technology, lack of foreign investment. Show Answer Correct Answer: A) Lack of infrastructure, limited access to capital and financial services, political instability, corruption, inadequate education and healthcare systems, and high levels of poverty and inequality. 9. Which of the following is the equation for the multiplier? A) 1 / MPT. B) 1 / MPW. C) 1 / MPC. D) 1 / MPX + MPM. Show Answer Correct Answer: B) 1 / MPW. 10. What is a recommended policy for addressing inequality? A) Conditional cash transfer programs. B) Reducing access to healthcare. C) Limiting infrastructure development. D) Promoting income-earning opportunities for the rich. Show Answer Correct Answer: A) Conditional cash transfer programs. 11. Which activity is an example of investing in physical capital by a company? A) Constructing a new factory. B) Throwing away old delivery trucks. C) Giving workers more time off to rest. D) Training workers to do their jobs better. Show Answer Correct Answer: A) Constructing a new factory. 12. Which headline below would MOST LIKELY be used to describe a country that will experience future economic growth? A) "Country experiences population reduction.". B) "Inflation rate hits new highs.". C) "Government to offer new educational opportunities.". D) "Central bank to raise interest rates.". Show Answer Correct Answer: C) "Government to offer new educational opportunities.". 13. Which population has the LOWEST human capital? A) Egypt. B) Nigeria. C) South Africa. D) Sudan. Show Answer Correct Answer: B) Nigeria. 14. The diagram that illustrates the set of interactions between the major sets of economic actors in our economy is called the A) Circular flow model. B) Business model. C) Economic agent model. D) Household model. E) Agent-principal model. Show Answer Correct Answer: A) Circular flow model. 15. Something that comes from Earth or nature that is useful to humans A) Human capital. B) Capital goods. C) Natural resources. D) None of the above. Show Answer Correct Answer: C) Natural resources. 16. What did eager consumers use to purchase goods during the 1920s? A) Credit cards. B) Bartering. C) Installment plans. D) Cash payments. Show Answer Correct Answer: C) Installment plans. 17. True or False-A country will always have a strong economy if it has one valuable resource. A) True. B) False. Show Answer Correct Answer: B) False. 18. How has Russia worked to improve its GDP per capita in recent years? A) Focusing on saving, not spending. B) Spending billions to train its workforce and update its factories. C) Spending billions to build defenses for possible wars. D) None of above. Show Answer Correct Answer: B) Spending billions to train its workforce and update its factories. 19. Healthcare A) Public health. B) Food and water security. C) Farming policy. D) Health benefits. Show Answer Correct Answer: A) Public health. 20. What value is assigned to the "base year" of a price index? A) 100. B) 90. C) 120. D) 1. Show Answer Correct Answer: A) 100. ← 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 9 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books