This quiz works best with JavaScript enabled. Home > Finance > Economics > Macroeconomics > Economic Growth > Economic Growth – Quiz 16 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Economic Growth Quiz 16 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. The level of wealth and material comfort available to a people. A) Literate. B) Standard of living. C) Entrepreneur. D) Literacy rate. Show Answer Correct Answer: B) Standard of living. 2. Why were many Americans distrustful of unions during the Industrial Age? A) People believed unions were run by foreign radicals and were a threat to American culture. B) They believed that unions were responsible for high unemployment. C) People felt that unions helped create monopolies. D) None of above. Show Answer Correct Answer: A) People believed unions were run by foreign radicals and were a threat to American culture. 3. Which formula is the correct way to measure economic growth rate? A) Original GDP-Change in GDP x 100. B) Change in GDP-Original GDP x 100. C) Change in GDP / Original GDP x 100. D) Original GDP / Change in GDP x 100. Show Answer Correct Answer: C) Change in GDP / Original GDP x 100. 4. Which of the following best describes the term "strong" in the context of strong and sustainable economic growth? A) Short-term economic growth at any cost. B) High growth rates that are difficult to maintain. C) Steady economic growth that promotes stability and resilience. D) Economic growth that relies solely on the exploitation of natural resources. Show Answer Correct Answer: C) Steady economic growth that promotes stability and resilience. 5. How does an outward shift of the Production Possibility Curve (PPC) relate to economic growth? A) It indicates a recession. B) It signifies actual economic growth. C) It represents potential economic growth. D) It has no relation to economic growth. Show Answer Correct Answer: C) It represents potential economic growth. 6. Which policy might not promote economic growth? A) Decreasing interest rates. B) Increasing taxes on all goods and services. C) Investing in infrastructure. D) Promoting technological research. Show Answer Correct Answer: B) Increasing taxes on all goods and services. 7. As per Leibenstein's theory of critical minimum effort, every economy is influenced by two forces A) Demand and supply. B) Savings and investment. C) Cost and Revenue. D) Stimulants and shocks. Show Answer Correct Answer: D) Stimulants and shocks. 8. What is the primary goal of expansionary monetary policies? A) Reduce inflation. B) Increase interest rates. C) Promote economic growth. D) Boost consumer spending. Show Answer Correct Answer: C) Promote economic growth. 9. Why, despite the fact that there was no major damage, did the Stono Rebellion become such a major concern for the white population? A) Several of the prominent white citizens of Charleston had secretly helped the slaves organize the Rebellion. B) The citizens of Charleston were not concerned about the African slaves but they were worried that the event might motivate local Native American tribes to rebel. C) One of the men killed during the Rebellion was Thomas Broughton, governor of South Carolina. D) African slaves outnumbered whites nearly 2 to 1, making the possibility of a major slave rebellion a very real concern. Show Answer Correct Answer: D) African slaves outnumbered whites nearly 2 to 1, making the possibility of a major slave rebellion a very real concern. 10. What are some environmental consequences of economic growth? A) Increased biodiversity, improved air quality, and enhanced ecosystem services. B) Decreased pollution, reforestation, conservation of natural resources, and climate stability. C) Increased pollution, deforestation, depletion of natural resources, and climate change. D) No environmental consequences, economic growth is beneficial for the environment. Show Answer Correct Answer: C) Increased pollution, deforestation, depletion of natural resources, and climate change. 11. Which developing country is aging even faster than Thailand? A) Philippines. B) Vietnam. C) India. D) Indonesia. Show Answer Correct Answer: B) Vietnam. 12. What can affect economic growth if a country is at war? A) All of the above. B) Limiting purchases. C) Decline in economy. D) Increase in unemployment rates. Show Answer Correct Answer: A) All of the above. 13. How does income inequality affect economic growth? A) Income inequality only affects the wealthy and not the overall economy. B) Income inequality always leads to economic growth. C) Income inequality has no impact on economic growth. D) Income inequality can have both positive and negative effects on economic growth. Show Answer Correct Answer: D) Income inequality can have both positive and negative effects on economic growth. 14. What is an important factor in the economies of Saudi Arabia and the UAE? A) Oil. B) Water. C) Climate. D) Metals. Show Answer Correct Answer: A) Oil. 15. What is considered one cause of inflation? A) Demand and supply are in equilibrium. B) Producers raise prices to meet increased costs. C) Employment is increased. D) The money supply decreases. Show Answer Correct Answer: B) Producers raise prices to meet increased costs. 16. What part of Europe has high literacy rates? A) Northern. B) Southern. C) Southeastern. D) Eastern. Show Answer Correct Answer: D) Eastern. 17. What is physical capital in economics? A) Tools in the mind or the stuff in people's heads. B) Tools in the broadest sense like shovels and tractors. C) Knowledge about how the world works. D) The best technological knowledge. Show Answer Correct Answer: B) Tools in the broadest sense like shovels and tractors. 18. Comparing prices adjusted for inflation is shows the ..... A) Real value. B) Contraction. C) Nominal value. D) Deflated value. Show Answer Correct Answer: A) Real value. 19. Which of the following is NOT a focus of the Updated Philippine Development Plan for 2017-2022? A) Practicing degrowth strategies to protect the environment more than the economy. B) Creating foundations for sustainable development. C) Increasing economic equity. D) Building a high-trust society. Show Answer Correct Answer: A) Practicing degrowth strategies to protect the environment more than the economy. 20. Define potential growth A) In PPC model, refer to growth that occurs due to the reduction of unemployment or improvement in efficiency of resource use, resulting in movement from inside PPC to point closer to PPC. B) In PPC model, refers to growth that occurs due to increase in quantity or quality of resources, resulting in shift to the right of PPC curve, also referred to as long-term growth. Show Answer Correct Answer: B) In PPC model, refers to growth that occurs due to increase in quantity or quality of resources, resulting in shift to the right of PPC curve, also referred to as long-term growth. 21. Which of the following about strategy of balanced growth is right A) Simultaneous investment in all sectors. B) All sectors are independent. C) Both. D) None. Show Answer Correct Answer: A) Simultaneous investment in all sectors. 22. A government achieves a high rate of economic growth.How may this conflict with other government aims? A) It may increase the volume of imports. B) It may increase the supply of exports. C) It may increase government income. D) It may increase incomes for the lower paid. Show Answer Correct Answer: A) It may increase the volume of imports. 23. The level of private consumption spending (C) and the rate of economic growth are likely to fall if there was a: A) Rise in consumer confidence. B) Fall in household savings. C) Rise in household income. D) Rise in government taxation. Show Answer Correct Answer: D) Rise in government taxation. 24. This reflects material living standards A) Real G.D.P. B) G.D.P. per product. C) G.D.P. D) G.D.P. per capita. Show Answer Correct Answer: D) G.D.P. per capita. 25. What is one way to measure average labor productivity A) Calories in vs calories out, you can't explain that mr lowe. B) The output of the median worker. C) The output of the best workers. D) Output per employed worker. Show Answer Correct Answer: D) Output per employed worker. 26. It shows trends of how a nation's growth rates change over time. A) Business cycle. B) Economic growth. C) Population. D) Demographic cycle. Show Answer Correct Answer: D) Demographic cycle. 27. Which one was the topic? A) Decent Work and Economic Growth. B) Sustainable Development Goals. C) Zero Hunger. D) English. Show Answer Correct Answer: A) Decent Work and Economic Growth. 28. Which country is considered an important station for trading ships? A) Singapore. B) China. C) Saudi Arabia. D) UAE. Show Answer Correct Answer: A) Singapore. 29. What are natural resources (water, oil, metals, minerals, plants, climate, etc.) produced by? A) Nature. B) Animals. C) Machines. D) Humans. Show Answer Correct Answer: A) Nature. 30. Continuous improvements in advanced energy, transportation, and communication systems. A) Stage 1:Traditional Society. B) Stage 3:Take-Off. C) Stage 4:Drive to Maturity. D) Stage 2:Pre-Condition for Take-Off. E) Stage 5:High Mass Consumption. Show Answer Correct Answer: C) Stage 4:Drive to Maturity. ← 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