This quiz works best with JavaScript enabled. Home > Finance > Economics > Macroeconomics > Economic Growth > Economic Growth – Quiz 21 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Economic Growth Quiz 21 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. ..... drove cattle from ranches to the railheads. A) Meat dealers. B) Explorers. C) Railroad officials. D) Cowboys. Show Answer Correct Answer: D) Cowboys. 2. More people in an economy will normally result in A) Lower GDP per Capita. B) Lower capital. C) Capital Increase. D) More land per person. Show Answer Correct Answer: C) Capital Increase. 3. Thomas Edison invented the ..... A) Refrigerated RR car. B) Telegraph. C) Telephone. D) Light bulb and electricity power plant. Show Answer Correct Answer: D) Light bulb and electricity power plant. 4. Environmental economics is the field of economics which is concerned with the financial and ..... impact of the ..... policies on the economy A) Economicenvironmental. B) Environmentaleconomic. C) Environmentaleconomy. D) Economyenvironmental. Show Answer Correct Answer: A) Economicenvironmental. 5. Natural resources are valuable ..... sold to other countries. A) Imports. B) Exports. C) Gems. D) None of above. Show Answer Correct Answer: B) Exports. 6. What might a government decrease if it wished to slow down the rate of growth in an economy? A) Expenditure on defence. B) Goods and services (value added) tax. C) Interest rates. D) The rate of income tax. Show Answer Correct Answer: A) Expenditure on defence. 7. Economic Development is more likely to occur if the benefits of economic growth are channeled into A) Health and education programmes. B) Government spending on defense. C) Taxation. D) Government tax breaks for the wealthy. Show Answer Correct Answer: A) Health and education programmes. 8. Which of the following is a perceived advantage of import substitution industrialization (ISI)? A) ISI may cause other countries to take retaliatory protectionist measures. B) ISI may lead to high rates of inflation. C) ISI may protect jobs in the short run. D) ISI may lead to inefficiency in domestic industries. Show Answer Correct Answer: C) ISI may protect jobs in the short run. 9. How far the aggregate demand shifts to the right depends upon the marginal propensity to consume and thus the size of the multiplier effect A) Yes, I understand this from the notes. B) No, I don't understand this from the notes. C) No, I don't understand this, as I have not read the notes. D) None of above. Show Answer Correct Answer: A) Yes, I understand this from the notes. 10. What is the impact of government policies on economic growth? A) Government policies have no impact on economic growth. B) Government policies always impede economic growth. C) Government policies can either stimulate or impede economic growth depending on their nature and implementation. D) Government policies always stimulate economic growth. Show Answer Correct Answer: C) Government policies can either stimulate or impede economic growth depending on their nature and implementation. 11. Full form of GDP is ..... A) Gross Domestic Product. B) General Domestic Product. Show Answer Correct Answer: A) Gross Domestic Product. 12. How can a country improve it's economic growth? A) Improve education. B) Provide job training. C) None of the above. D) All of the above. Show Answer Correct Answer: D) All of the above. 13. Those who risk their own money and resources to create a new business or service. A) Literacy Rate. B) Standard of living. C) Entrepreneur. D) Private sector. Show Answer Correct Answer: C) Entrepreneur. 14. How did the reduction in taxes benefit wealthy Americans? A) They paid lower taxes than before. B) They paid the same amount of taxes as before. C) They paid higher taxes than before. D) They were exempt from paying taxes. Show Answer Correct Answer: A) They paid lower taxes than before. 15. The ..... was a labor union that combined a lot of trade unions so that they had more power. A) AFL. B) NAACP. C) Knights of Labor. D) None of above. Show Answer Correct Answer: A) AFL. 16. What is one limitation of Rostow's stages of economic growth model? A) It doesn't consider geographic influences and challenges. B) It assumes all countries will become mass consumers. C) It doesn't take into account how countries influence each other. D) All of the above. Show Answer Correct Answer: D) All of the above. 17. What has been an important factor in economic growth since the Industrial Revolution? A) Technological development. B) Natural resources. C) Human capital. D) Entrepreneurship. Show Answer Correct Answer: A) Technological development. 18. How did the Carolina colony become more democratic? A) When Lords Proprietors allowed the colonists governed themselves. B) When the King accepted the invitation to rule over the colony. C) When the King allowed the colonists to vote for the governor. D) When the Lords Proprietors decided to give the common people a voice in the government. Show Answer Correct Answer: D) When the Lords Proprietors decided to give the common people a voice in the government. 19. How did the market for beef encourage ranchers to make cattle drives A) Beef was expensive in Texas but cheap elsewhere. B) Beef was cheap in Texas but expensive elsewhere. C) There was nowhere to buy beef in Texas. D) None of the above. Show Answer Correct Answer: B) Beef was cheap in Texas but expensive elsewhere. 20. Coal combines with other metals to give strength A) True. B) False. Show Answer Correct Answer: B) False. 21. Which of the following is the economic consequences of high level of unemployment? A) Increased consumer spending, higher tax revenues, and decreased government spending on social welfare programs. B) Stagnant consumer spending, higher tax revenues, and decreased government spending on social welfare programs. C) Decreased consumer spending, lower tax revenues, and increased government spending on social welfare programs. D) Increased consumer spending, lower tax revenues, and decreased government spending on social welfare programs. Show Answer Correct Answer: C) Decreased consumer spending, lower tax revenues, and increased government spending on social welfare programs. 22. The increase in the production of goods and services over a specific period is know as A) Economic Growth. B) GNP. C) Economic Development. D) GDP. Show Answer Correct Answer: A) Economic Growth. 23. What did Solow's research in the 1950s conclude about the main driver of GDP per capita growth? A) Government policies. B) Monetary policies. C) Steadily increasing capital per worker. D) Increased investment in education. E) Changes in total factor productivity (TFP). Show Answer Correct Answer: E) Changes in total factor productivity (TFP). 24. Money is a type of capital goods. A) False. B) True. Show Answer Correct Answer: A) False. 25. Humans are needed to operate machines and fix them. A) False. B) True. Show Answer Correct Answer: B) True. 26. How to things are connected A) Human capital. B) Investment. C) GDP per capita. D) GDP. E) Relationship. Show Answer Correct Answer: E) Relationship. 27. Orville and Wilber Wright invented the ..... A) Refrigerated RR car. B) Airplane. C) Telephone. D) Light bulb and electricity power plant. Show Answer Correct Answer: B) Airplane. 28. What is the main concern related to foreign direct investment (FDI)? A) Improved infrastructure of the economy. B) Increased tax revenue for the host government. C) Possible exploitation of workers. D) Increased access to technology and marketing expertise. Show Answer Correct Answer: C) Possible exploitation of workers. 29. Which of these is not a new development built around Cambridge? A) Eddington. B) Clay Farm. C) Trumpington Meadows. D) Queen's Hills. Show Answer Correct Answer: D) Queen's Hills. 30. A country with many natural resources will most likely have a A) Low standard of living. B) Less goods and services. C) High poverty rate. D) High standard of living. Show Answer Correct Answer: D) High standard of living. ← 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