This quiz works best with JavaScript enabled. Home > Finance > Economics > Macroeconomics > Economic Growth > Economic Growth – Quiz 31 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Economic Growth Quiz 31 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Which of the following is NOT a positive impact on society of economic growth? A) Improved public services. B) Improved living standards. C) Increased prices (inflation). D) Increased employment. Show Answer Correct Answer: C) Increased prices (inflation). 2. When it was originally settled, South Carolina was a "Proprietary Colony." What did this mean? A) The colony was owned and ruled by a group of Lords Proprietors. B) Only citizens from a "proper" family were allowed to join the new settlements. C) The colony was the top priority of England. D) Settlers received a certain amount of property upon arriving to the new area. Show Answer Correct Answer: A) The colony was owned and ruled by a group of Lords Proprietors. 3. Investment in education and job training are investments in ..... A) Natural resources. B) Capital goods. C) Human capital. D) None of above. Show Answer Correct Answer: C) Human capital. 4. An economy where economic decisions are made by individuals, and individuals and businesses own most of the businesses and farms A) Mixed Economy. B) Market Economy. C) Traditional Economy. D) Command Economy. Show Answer Correct Answer: B) Market Economy. 5. How does investment in infrastructure contribute to economic growth? A) Investment in infrastructure contributes to economic growth by creating jobs, improving productivity, and attracting private investment. B) Investment in infrastructure has no impact on economic growth. C) Investment in infrastructure leads to higher taxes and reduces economic growth. D) Investment in infrastructure only benefits a few individuals and does not contribute to overall economic growth. Show Answer Correct Answer: A) Investment in infrastructure contributes to economic growth by creating jobs, improving productivity, and attracting private investment. 6. What is a positive output gap? A) When the actual level of output is greater than the previous year's output. B) When the actual level of output is less than the potential level of output. C) When the actual level of output is equal to the potential level of output. D) When the actual level of output is greater than the potential level of output. Show Answer Correct Answer: D) When the actual level of output is greater than the potential level of output. 7. Nominal GDP is when A) GDP has been not adjusted to the effects of inflation. B) GDP has been adjusted to the effects of inflation. Show Answer Correct Answer: A) GDP has been not adjusted to the effects of inflation. 8. How can economic growth be measured? A) Population growth rate, poverty rate, income inequality. B) GDP, GNP, Real GDP growth rate. C) Consumer price index, stock market index, exchange rate. D) Inflation rate, unemployment rate, interest rate. Show Answer Correct Answer: B) GDP, GNP, Real GDP growth rate. 9. Teddy Roosevelt was a ..... because he believed in helping the common man by preserving nature, busting trusts, supporting unions, etc. A) Republican. B) Democratic. C) Progressive. D) None of above. Show Answer Correct Answer: C) Progressive. 10. As a verb, to gain financially; as a noun, the economic gains of a business A) Profit. B) Public Sector. C) Private Sector. D) Entrepreneur. Show Answer Correct Answer: A) Profit. 11. Economic growth can be best described as: A) No frictional unemployment. B) An increase in Real GDP per capita over time. C) A decrease in GDP. D) A double digit increase in the price level. Show Answer Correct Answer: B) An increase in Real GDP per capita over time. 12. Economic Growth can bring improved standards of living A) True. B) False. Show Answer Correct Answer: A) True. 13. Why decent work is important for people? A) Because it allows the satisfaction of economic needs. B) Because it contributes to the development of the country. C) All answers are correct. D) Because it transform society for the better. Show Answer Correct Answer: C) All answers are correct. 14. Short run economic growth is measured by the percentage change in real GDP 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. 15. National income is equivalent to GDP A) False. B) True. Show Answer Correct Answer: B) True. 16. What are some factors that can affect economic growth? A) Government policies, technological advancements, infrastructure development, education and skill levels of the workforce, natural resources, political stability, and global economic conditions. B) Population growth, inflation, exchange rates. C) Sports events, social media trends, celebrity endorsements. D) Weather conditions, cultural practices, fashion trends. Show Answer Correct Answer: A) Government policies, technological advancements, infrastructure development, education and skill levels of the workforce, natural resources, political stability, and global economic conditions. 17. Nations that invest in the health, education, & training of their people will have a more valuable workforce that produces more goods & services. A) True. B) False. Show Answer Correct Answer: A) True. 18. What is one way a government can invest in human capital? A) By creating a low corporate tax rate. B) By creating tax breaks for industrial equipment. C) By providing no-interest loans for higher education. D) By providing unemployment insurance. Show Answer Correct Answer: C) By providing no-interest loans for higher education. 19. The Human Development Index (HDI) has 3 important criteria, which of these is NOT included? A) Education. B) Real GDP/Income. C) Life expectancy. D) Pollution. Show Answer Correct Answer: D) Pollution. 20. Economic growth is the increase in: A) Employment. B) GDP per Capita. C) Taxes. D) Interest Rates. E) None is correct. Show Answer Correct Answer: E) None is correct. 21. A country investing in updating outdated factories A) Capital Goods. B) Human Capital. Show Answer Correct Answer: A) Capital Goods. 22. The first English permanent colony in South Carolina was Charles Town. Which statement is true about other areas in the New World? A) The Spanish had many other colonies in the New England region including St. Augustine. B) The French and Spanish had colonies throughout the New World including colonies in the New England, Middle, and Southern regions. C) The English had several colonies already established in other colonies, including Jamestown, the first permanent English colony in the South. D) The Carolina colony was the only colony settled by the English because England was involved in a war. Show Answer Correct Answer: C) The English had several colonies already established in other colonies, including Jamestown, the first permanent English colony in the South. 23. Which of the following will happen if a country's government reduces business taxes? A) The short-run Phillips curve will shift to the right. B) The short-run aggregate supply curve will shift to the right. C) The long-run aggregate supply curve will shift to the left. D) The aggregate demand curve will shift to the left. E) The demand curve for loanable funds will shift to the left. Show Answer Correct Answer: B) The short-run aggregate supply curve will shift to the right. 24. Which one of the following is most likely to occur in the boom phase of an economic cycle? A) Rising national income, falling unemployment and a negative output gap. B) Rising imports, rising profits and a positive output gap. C) Rising consumption and investment expenditure and a negative output gap. D) Excess demand, falling employment and a positive output gap. Show Answer Correct Answer: B) Rising imports, rising profits and a positive output gap. 25. How do entrepreneurs help a country's economy? A) Start new businesses, create jobs, introduce to products, etc. B) Government corruption. C) Providing electricity and improving roads. D) Exporting oil, minerals, etc. Show Answer Correct Answer: A) Start new businesses, create jobs, introduce to products, etc. 26. Which of the following system led to the establishment of large plantations, by granting large tracts of land to settlers? A) Headright system. B) Social class system. C) Indentured slave system. D) Slave system. Show Answer Correct Answer: A) Headright system. 27. The value that a worker brings to the marketplace (his/her job) is called ..... A) Capital goods. B) Entrepreneur. C) Natural resources. D) Human capital. Show Answer Correct Answer: D) Human capital. 28. An increase in productivity is likely to A) Worsen Australia's international competitiveness and increase inflation. B) Worsen Australia's international competitiveness and decrease inflation. C) Improve Australia's international competitiveness and increase inflation. D) Improve Australia's international competitiveness and decrease inflation. Show Answer Correct Answer: C) Improve Australia's international competitiveness and increase inflation. 29. Type of unemployment that occurs as a result of harvest schedules, or when industries make seasonal shifts in their production schedules. A) Frictional Unemployment. B) Seasonal Unemployment. C) Cyclical Unemployment. D) Structural Unemployment. Show Answer Correct Answer: B) Seasonal Unemployment. 30. An ..... is someone who takes risks to start a new businesses. A) Entrepreneur. B) Resource. C) Capital. D) Investor. Show Answer Correct Answer: A) Entrepreneur. ← 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