This quiz works best with JavaScript enabled. Home > Finance > Economics > Macroeconomics > Economic Growth > Economic Growth – Quiz 25 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Economic Growth Quiz 25 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. What is the advantage of having a bulge in a country's working-age population? A) Higher economic growth. B) Decreased productivity gains. C) Increased dependency ratio. D) Lower savings and investment. Show Answer Correct Answer: A) Higher economic growth. 2. Why is real GDP a poor indicator of economic growth? A) Real GDP is a short run measure, and economic growth is a long run potential. B) Real GDP is a monetary measure that does not take other factors into account. C) Real GDP is changed quickly by tax policies, which do not reflect economic growth. D) Real GDP is directly related to short-term employment and not economic growth. Show Answer Correct Answer: B) Real GDP is a monetary measure that does not take other factors into account. 3. Which economic term BEST describes sending goods to another country and getting goods from another country? A) Exporting and importing. B) Buying and selling. C) Supply and demand. D) Production and consumption. Show Answer Correct Answer: A) Exporting and importing. 4. In which sector does Russia invest? A) Machinery. B) Automotive. C) Energy. D) Telecommunications. Show Answer Correct Answer: C) Energy. 5. Economists ..... of a country's economy by its gross domestic product (GDP) A) Goods & services produced. B) Per person. C) Weaker economies. D) Others do not. E) Measure the health. Show Answer Correct Answer: E) Measure the health. 6. Machinery is an example of A) Human capital. B) Physical capital. C) An intangible asset. D) A natural resource. E) A market. Show Answer Correct Answer: B) Physical capital. 7. What is the correct correlation (relationship) between entrepreneurs and GDP? A) The more entrepreneurs a country has the lower the GDP. B) The more entrepreneurs a country has the higher the GDP. Show Answer Correct Answer: B) The more entrepreneurs a country has the higher the GDP. 8. What is the impact of oil production on the economy of Middle Eastern countries? A) It has no impact. B) It increases the economy. C) It fluctuates the economy. D) It decreases the economy. Show Answer Correct Answer: B) It increases the economy. 9. The Knights of Labor disagreed with the violent actions of the anarchists during what event? A) The Pullman Strike. B) The American Federation of Labor. C) The International Ladies' Garment Workers' Union. D) The Haymarket Riot. Show Answer Correct Answer: D) The Haymarket Riot. 10. Increased financial rewards would be included in which measure of economic growth? A) Real Income/GDP. B) Productive capacity. C) Net social welfare. D) None of above. Show Answer Correct Answer: A) Real Income/GDP. 11. Which of the following represents an investment in human capital? A) Creating a robot. B) Paving roads. C) Purchasing new Chromebooks. D) Learning to read and write. Show Answer Correct Answer: D) Learning to read and write. 12. A closed economy has both a private sector and a public sector.Gross Domestic Product (GDP) consists of total consumer expenditure plus gross investment plus net exports plus A) Total government expenditure. B) The value of exports. C) The value savings. D) Total government expenditure minus total taxation. Show Answer Correct Answer: A) Total government expenditure. 13. What is the purpose of the OECD Guidelines for Multinational Enterprises? A) To promote environmental damage. B) To encourage local capacity building. C) To increase trade diversion. D) To reduce access to research and development. Show Answer Correct Answer: B) To encourage local capacity building. 14. Economic growth often results in: A) A fall in the quality of air, the extinction of native plants and animals, and the destruction of healthy rivers and oceans. B) Greater consumer choice, better health and longer life expectancy. C) The growth of cities and of urban problems such as traffic congestion and waste disposal. D) All of the above. Show Answer Correct Answer: D) All of the above. 15. What is Literacy Rate? A) The number of people in a county over the age of 18 who attended college. B) The number of people in a county over the age of 15 who can read and write. C) The number of people in a country over the age of 10 who can read and write. D) The number of people in a country over the age of 20 who can read and write. Show Answer Correct Answer: B) The number of people in a county over the age of 15 who can read and write. 16. Natural Resource A) Ability to read and write. B) Material on the Earth that has economic value. Show Answer Correct Answer: B) Material on the Earth that has economic value. 17. Entrepreneurs benefit society by A) Lowering the standard of living. B) Making billions of dollars in revenue. C) Polluting the environment. D) Providing jobs for workers. Show Answer Correct Answer: D) Providing jobs for workers. 18. What is a potential drawback of technical progress in terms of employment? A) Reduced inflation. B) Decreased productivity. C) Rise in unemployment. D) Lower GDP. Show Answer Correct Answer: C) Rise in unemployment. 19. Some countries have a high GDP, while ..... A) Productive resources. B) Goods & services produced. C) Others do not. D) Per person. E) Weaker economies. Show Answer Correct Answer: C) Others do not. 20. The ..... helps people to live comfortably. A) Money. B) Buildings. C) Infrastructure. D) Mall. Show Answer Correct Answer: C) Infrastructure. 21. What is the impact of lacking natural resources on a country's GDP? A) You would have to import the natural resources which could be expensive so GDP would decrease. B) You would have to export the natural resources which could be expensive so GDP would increase. C) If you invest money, you will make more money and then GDP would increase. D) None of above. Show Answer Correct Answer: A) You would have to import the natural resources which could be expensive so GDP would decrease. 22. The Theory of Big Push is based on the idea of A) External Economies of Scale. B) Small Amount of Investment. C) Internal Economies of Scale. D) Unbalanced Growth. Show Answer Correct Answer: A) External Economies of Scale. 23. An outward shift in the PPC corresponds to ..... of the long-run aggregate supply curve. A) A rightward shift. B) A leftward shift. C) An indeterminate shift . D) Constant value. Show Answer Correct Answer: A) A rightward shift. 24. How was Barbados important to the success of the early Carolina colony? A) Settlers introduced the slave labor system to Carolina from Barbados. B) Barbados served as a market for manufactured goods from Carolina. C) Carolinians established a successful trading system with the people from Barbados. D) Planters from Barbados introduced rice to the Carolina colony. Show Answer Correct Answer: A) Settlers introduced the slave labor system to Carolina from Barbados. 25. What does human capital refer to? A) Technological development. B) Entrepreneurship. C) Skills and knowledge of a population. D) Physical capital. Show Answer Correct Answer: C) Skills and knowledge of a population. 26. What is the main objective of import substitution strategy? A) To reduce domestic production. B) To produce more domestically. C) To increase imports. D) To promote international trade. Show Answer Correct Answer: B) To produce more domestically. 27. Limited socio-economic mobility, growth. No climbing of socio-economic classes. A) Stage 5:High Mass Consumption. B) Stage 1:Traditional Society. C) Stage 4:Drive to Maturity. D) Stage 3:Take-Off. E) Stage 2:Pre-Condition for Take-Off. Show Answer Correct Answer: B) Stage 1:Traditional Society. 28. ..... was a muckraker that exposed the corruption of the Standard Oil monopoly. A) Tarbell. B) Sinclair. C) Nast. D) Wells. Show Answer Correct Answer: A) Tarbell. 29. A cost to economic growth is demand pull inflation 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. 30. If the point where an economy is producing lies inside the PPF curve, this means that the economy's production is ..... A) Over efficient/heating. B) Not efficient. C) Impossible. D) None of the above. Show Answer Correct Answer: B) Not efficient. ← 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