This quiz works best with JavaScript enabled. Home > Finance > Economics > Macroeconomics > Economic Growth > Economic Growth – Quiz 3 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Economic Growth Quiz 3 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Why is a low literacy rate bad for a country's economy? A) Members of the country's workforce are likely to emigrate. B) The country's natural resources will be quickly exhausted. C) It will be difficult for the country to find trading partners. D) Businesses will have difficulty finding skilled workers. Show Answer Correct Answer: D) Businesses will have difficulty finding skilled workers. 2. People that have training are more likely to contribute to technological advances, which leads to finding better uses of natural resources & producing more goods. A) True. B) False. Show Answer Correct Answer: A) True. 3. What factor has recently affected economic growth by introducing new ideas into the marketplace? A) Physical capital. B) Human capital. C) Natural resources. D) Entrepreneurship. Show Answer Correct Answer: D) Entrepreneurship. 4. Which government agency is in charge of developing and coordinating the Philippine Development Plan? A) National Economic Development Authority. B) Department of Public Works and Highways. C) Department of Trade and Industry. D) None of above. Show Answer Correct Answer: A) National Economic Development Authority. 5. How does Bangladesh's economic growth compare to other South Asian countries? A) It is higher than some South Asian countries and lower than others. B) It is the lowest among all South Asian countries. C) It is the highest among all South Asian countries. D) It is the same as all other South Asian countries. Show Answer Correct Answer: A) It is higher than some South Asian countries and lower than others. 6. Which of the following IS a positive environmental impact of economic growth? A) Depletion of natural resources. B) Increased pollution and waste. C) Loss of non renewable resources. D) Increased investment in sustainable production methods. Show Answer Correct Answer: D) Increased investment in sustainable production methods. 7. Gross Domestic product is measured in the A) Zillions and quadrillion. B) Hundreds and thousands. C) Millions, billions and trillions. D) Thousands and millions. Show Answer Correct Answer: C) Millions, billions and trillions. 8. Which of these African nations produces the MOST crude oil on an annual basis? A) South Sudan. B) Nigeria. C) Sudan. D) Congo. Show Answer Correct Answer: B) Nigeria. 9. Which of the following are markets involved in the circular flow model? A) Factor Market and Resource Market. B) Labor Market and Product Market. C) Factor Market and Product Market. D) Resource Market and Labor Market. Show Answer Correct Answer: C) Factor Market and Product Market. 10. In what year did Ireland last experience recession? A) 1998. B) 2018. C) 2008. D) 2012. Show Answer Correct Answer: C) 2008. 11. What can affect economic growth if a country is overpopulated? A) Limiting purchases. B) Decline in economy. C) All of the above. D) Increase in unemployment rates. Show Answer Correct Answer: D) Increase in unemployment rates. 12. A downturn in the economy in which when businesses aren't doing so well for an extended period of time A) Confession. B) Extermination. C) Procession. D) Recession. Show Answer Correct Answer: D) Recession. 13. Which of the following is NOT a reason for the growth of the PPF? A) Technological advancement. B) Discovery of new mineral deposits. C) Decrease in population. D) Accumulation of capital. Show Answer Correct Answer: C) Decrease in population. 14. Which measure of national income includes factors such as education and healthcare performance? A) Real GDP. B) GDP per capita. C) Gross National Income (GNI). D) Human Development Index (HDI). Show Answer Correct Answer: D) Human Development Index (HDI). 15. What is the accumulated knowledge (from education and experience), skills, and expertise that the average worker in an economy possesses? A) Human Capital. B) Technological Change. C) Physical Capital. D) Labor Productivity. Show Answer Correct Answer: A) Human Capital. 16. Why was barbed wire considered a problem for cattle drives? A) Barbed wire was too expensive for cowboys to purchase. B) There was not enough barbed wire in Texas. C) Cowboys could no longer guide their cattle north through open prairies. D) It got in the way of farming. Show Answer Correct Answer: C) Cowboys could no longer guide their cattle north through open prairies. 17. What did the term 'laissez-faire' refer to in the economic context? A) Equal distribution of wealth. B) Government ownership of all industries. C) Government control of all economic activities. D) Hands-off approach to government intervention in the economy. Show Answer Correct Answer: D) Hands-off approach to government intervention in the economy. 18. Why is most of Nigeria's population living in poverty when the country exports more than 3 million barrels of oil each day? A) Oil profits are spread out evenly across the continent. B) Oil profits bypass the people & go to corrupt politicians. C) Most people are literate. D) Most people are illiterate. Show Answer Correct Answer: B) Oil profits bypass the people & go to corrupt politicians. 19. ..... is the effect of inflation remove from the current GDP figures. A) CPI. B) Real GDP. C) Nominal wage. D) Real wages. Show Answer Correct Answer: B) Real GDP. 20. Rapid urbanization takes place. A) Stage 5:High Mass Consumption. B) Stage 4:Drive to Maturity. C) Stage 3:Take-Off. D) Stage 1:Traditional Society. E) Stage 2:Pre-Condition for Take-Off. Show Answer Correct Answer: C) Stage 3:Take-Off. 21. If Real GDP has grown by 3 per cent, then the economy is producing 3 per cent more goods and services after adjusting for inflation when compared with the previous year. A) True. B) False. Show Answer Correct Answer: A) True. 22. National income can be measured in A) 4 ways. B) 3 ways. C) 1 way. D) 2 ways. Show Answer Correct Answer: B) 3 ways. 23. Which of the following is the reason for an actual economic growth to occur? A) Quality of education improved. B) Better technology used. C) Discovery of new resources . D) Household's income level increase. Show Answer Correct Answer: D) Household's income level increase. 24. What are the immediate causes of why some countries are rich and others are poor? A) Factors of production. B) Incentives. C) Good institutions. D) History, ideas, culture, geography, and luck. Show Answer Correct Answer: A) Factors of production. 25. When a country invests in new machinery, technology, and factories, it is increasing its: A) Human capital. B) Entrepreneurship. C) Natural resources. D) Capital goods. Show Answer Correct Answer: D) Capital goods. 26. What is industrial growth? A) Decrease in the production and expansion of industries within an economy. B) Increase in the production and expansion of industries within an economy. C) Stagnation in the production and expansion of industries within an economy. D) Increase in the production and expansion of agriculture within an economy. Show Answer Correct Answer: B) Increase in the production and expansion of industries within an economy. 27. Which factor of economic growth is all of the skills, talents, education, and abilities that human workers possess ..... and the value thatthey bring to the marketplace? A) Entrepreneurship. B) Capital Goods. C) Natural Resources. D) Human Capital. Show Answer Correct Answer: D) Human Capital. 28. Factories, machinery, technology, etc. are examples of: A) Human capital. B) Capital goods. C) Natural resources. D) Entrepreneurship. Show Answer Correct Answer: B) Capital goods. 29. Which of the following is a cost of economic growth? A) A fall in unemployment. B) A rise in employment. C) A reduction in poverty. D) Loss of non-renewable resources. Show Answer Correct Answer: D) Loss of non-renewable resources. 30. The investing of money or capital in order to gain profitable returns, as interest, income, or appreciation in value. A) Literacy rate. B) Capital goods. C) Per capita. D) Investment. Show Answer Correct Answer: D) Investment. ← PreviousNext →Related QuizzesMacroeconomics QuizzesEconomics QuizzesEconomic Growth Quiz 1Economic Growth Quiz 2Economic Growth Quiz 4Economic Growth Quiz 5Economic Growth Quiz 6Economic Growth Quiz 7Economic Growth Quiz 8Economic Growth Quiz 9 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books