This quiz works best with JavaScript enabled. Home > Finance > Economics > Macroeconomics > Economic Growth > Economic Growth – Quiz 44 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Economic Growth Quiz 44 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. The literacy rate for the region of Latin America is 90%. Country A has a literacy rate is 51%. Which statement best reflects these factors of economic growth in Country A? A) Country A's low investment in human capital lowers the GDP per capita. B) Country A's GDP per capita would decrease if there was more investment in human capital. C) Country A's high investment in human capital lowers the GDP per capita. D) Country A has greater opportunity for other capital investments than education. Show Answer Correct Answer: A) Country A's low investment in human capital lowers the GDP per capita. 2. Technical progress that increases the productivity of L proportionally more than the productivity of K is called: A) Capital savings. B) Labor saving. C) Neutral. D) Any of the above. Show Answer Correct Answer: A) Capital savings. 3. An economy's output gap moves from being positive to negative. The most likely reason for this is that? A) Taxes have increased. B) Interest rates have been cut. C) Unemployment has fallen. D) Taxes have been cut. Show Answer Correct Answer: A) Taxes have increased. 4. The more a country invests in its capital goods, the ..... and higher the GDP A) Boosts a country's exports. B) More goods & services. C) Increase in GDP. D) Technology. E) Stronger its economy. Show Answer Correct Answer: E) Stronger its economy. 5. What is a key feature of sustainable economic growth? A) Long-term environmental conservation. B) High inflation rates. C) Short-term profit maximization. D) Rapid industrialization regardless of environmental impact. Show Answer Correct Answer: A) Long-term environmental conservation. 6. What does GDP per capita include A) How much wealth there is in an economy. B) How the wealth is distributed within an economy. C) What the living standards are. D) What life expectancy is. Show Answer Correct Answer: A) How much wealth there is in an economy. 7. "to contribute, promote or help" means ..... A) To foster. B) To interpret. C) To target. D) To accompany. Show Answer Correct Answer: A) To foster. 8. Real 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: B) GDP has been adjusted to the effects of inflation. 9. Economic growth is a situation where an economy's real GDP increase. A) True. B) False. Show Answer Correct Answer: A) True. 10. A cost to economic growth are negative externalities 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. 11. Which answer choice below defines human capital? A) A person that invests their own money in starting a business. B) The training and education that workers need to be good at their job. C) Factories, tools and machines used to produce other goods and products. D) None of above. Show Answer Correct Answer: B) The training and education that workers need to be good at their job. 12. Mexico:$ 9, 00 A) True. B) False. Show Answer Correct Answer: B) False. 13. The rate of growth of an economy mainly depends upon A) The rate of growth of the labour force. B) The proportion of national income saved and invested. C) The rate of technological improvements. D) All of the above. Show Answer Correct Answer: C) The rate of technological improvements. 14. Which one of these is NOT a sign that living standards are improving? A) Decrease in poverty rate. B) Decrease in life expectancy. C) Increase in access to education. D) Improvement in healthcare facilities. Show Answer Correct Answer: B) Decrease in life expectancy. 15. The phrase "an English innovation" in the passage is closest in meaning to A) A type of agreement negotiated in English. B) A type of partnership based on English law. C) An arrangement found only in England. D) A new development introduced by the English. Show Answer Correct Answer: D) A new development introduced by the English. 16. What is a concern related to aid weariness? A) It leads to increased aid flows. B) It promotes economic development. C) It encourages innovation. D) It reduces flows of aid. Show Answer Correct Answer: D) It reduces flows of aid. 17. The costs and benefits of economic growth are best evaluated in the context of ..... ? A) Geographic location. B) Political systems. C) Different economies. D) Population size. Show Answer Correct Answer: C) Different economies. 18. Define GDP per capita A) The income of a country. B) Average income of the population. C) GDP x population. D) The income of a country divided by its population. Show Answer Correct Answer: D) The income of a country divided by its population. 19. Factories are an example of human capital. A) True. B) False tagsS2789894. Show Answer Correct Answer: B) False tagsS2789894. 20. According to the normal relationship, if Iran decided to invest money in education and training, how would their GDP likely be affected? A) It would decrease. B) It would not change. C) It would flucuate. D) It would increase. Show Answer Correct Answer: D) It would increase. 21. The national income can be measured by the expenditure method which involves the sum of the following expenditures: A) C + I + G + (X-M). B) C + I + G + (M-X). C) C + I + X + M + G. D) C + I + (X-M). Show Answer Correct Answer: A) C + I + G + (X-M). 22. What are the two sections of every economy? A) Private sector and public sector. B) Banking regulations and competition. C) Government control and tariffs. D) Cultural biases and trade barriers. Show Answer Correct Answer: A) Private sector and public sector. 23. GDP is often measured as "GDP per capita" . This is the GDP divided by a countries ..... A) Exports. B) Population. C) Imports. D) Resources. Show Answer Correct Answer: B) Population. 24. CHOOSE THE CORRECT SPELLING A) ECONOMIC. B) ECONOMIC. C) ECONOMIC. D) ECONOMIC. Show Answer Correct Answer: A) ECONOMIC. 25. What major political issue does the 13th, 14th and 15th Amendments cover? A) Own property. B) Individual Rights. C) Right to bear arms. D) Slavery. Show Answer Correct Answer: D) Slavery. 26. Why is a country better off if they can use their own natural resources? A) To seem rich to other countries. B) For trade. C) To buy from other countries. D) Just to have. Show Answer Correct Answer: B) For trade. 27. What is one criticism of Rostow's stages of economic growth model? A) It doesn't consider Earth's carrying capacity and new ecological limits. B) It doesn't account for how countries influence one another. C) It was based on the United States and Europe in the 1960s. D) All of the above. Show Answer Correct Answer: D) All of the above. 28. According to the article, China's economy is doing ..... than the economy of other countries. A) Better. B) No different. C) Worse. D) None of above. Show Answer Correct Answer: A) Better. 29. Which of these factors affect economic growth A) Levels of infrastructure. B) Human capital. C) Real wages. D) All of them. Show Answer Correct Answer: D) All of them. 30. Entrepreneurship involves: A) The physical labor of workers. B) The use of money and financial assets. C) The creation and management of businesses or innovative projects. D) Natural resources extraction and processing. Show Answer Correct Answer: C) The creation and management of businesses or innovative projects. ← 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