Classical growth theory argues that when real GDP per person rises above the subsistence level
A) technological change slows down, stagnating the economy.
B) population growth increases, driving real GDP per person back to subsistence level.
C) people don't want to work as much, decreasing labor supply.
D) the economy enjoys a period of permanent growth.
B
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An early piece of anti-trust legislation is the
A) Sherman Act. B) Mann Act. C) DIDMCA of 1980. D) Federal Reserve Act of 1913.
In which of the following categories has spending as a percentage of GDP generally declined since the 1960s?
a. National defense b. Health and Medicare c. Social Security d. Community and regional development
In the case of negative externalities, _____
a. the market equilibrium output is greater than the socially optimal output b. the market equilibrium output is lesser than the socially optimal output c. the social cost curve lies below the private cost curve d. the market is allocatively efficient at market equilibrium
GNI per capita can be adjusted by purchasing power to account for differences in the cost of living.
a. true b. false