The ________ nature of economic growth is one of the major reasons why there are large differences in GDP per capita across countries
A) linear B) quadratic C) exponential D) logarithmic
C
You might also like to view...
The most liquid asset is ________
A) stocks B) bonds C) cash D) real estate E) none of the above
You have won the lottery. There are two payment options for you. The first option is a lump sum payment of $10 million that you will receive immediately. The second option is an annual payment of $1 million for each of the next 12 years. Assume there is
no inflation. How would you make a decision between the two options? What will be an ideal response?
One reason that variable factors of production tend to show diminishing returns in the short run is that:
A. there is only so much that can be produced using additional variable inputs when some factors of production are fixed. B. large firms cannot effectively manage their resources. C. capital equipment is often idle in the short run. D. the cost of employing additional resources increases as firms employ more of those resources.
One criticism of monetary policy based on a predetermined steady growth rate in money supply is that
A) wages and prices are sufficiently flexible to allow the economy to restore the natural level of Real GDP on its own. B) the total lag in monetary policy may be too long to allow for effective monetary policy. C) changes in velocity, if not accounted for, can then be a source of price instability. D) a and b E) all of the above