Which of the following correctly identifies a Malthusian cycle?
A) Increase in GDP would increase GDP per capita above subsistence, which will cause an increase in the size of population which would increase pressure on resources and eventually reduce GDP per capita.
B) Increase in GDP would increase GDP per capita above subsistence, which will cause a decrease in the size of population that would reduce pressure on resources and increase GDP per capita further.
C) Decrease in GDP would decrease GDP per capita below subsistence, which will cause an increase in the size of population which would increase pressure on resources and eventually reduce GDP per capita.
D) Increase in GDP would increase GDP per capita above subsistence, which will cause an increase in the size of population that would increase pressure on resources and that would further increase GDP per capita.
A
You might also like to view...
Explain how tax revenue can be both an automatic fiscal policy and a discretionary fiscal policy
What will be an ideal response?
The authors explain that a firm earning a zero economic profit in the long run has earned a competitive return on their investment. What do they mean by "competitive" return in this context?
A) The firm's return could only be earned under perfect competition and would be smaller under imperfect competition. B) The firm's return is at least as larger as the returns earned by other firms. C) The firm's return is at least as larger as could be earned in another investment. D) The firm's return is negative, which initiates stronger competition among firms in the market.
Which of the following provides the bulk of revenue for the federal government?
a. corporate income taxes and grants from state and local governments b. personal income and payroll taxes c. user charges and funds borrowed from the general public d. corporate income and sales taxes
The law of one price is not expected to hold for:
A. differentiated goods. B. financial assets. C. oil. D. commodity goods.