All other things remaining equal, low-income nations that increase their investments in deepening their human and physical capital bases will:
a. experience higher growth rates than high-income nations that possess larger capital stocks per capita.
b. experience lower growth rates than high-income nations that are more technologically advanced
c. incur lower costs than high-income nations that experience higher costs of production due to expensive labor.
d. experience the same growth rates as high-income nations that are more technologically advanced.
a
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When marginal revenue is zero:
A. total revenue is maximized. B. elasticity of demand is zero. C. total cost is minimized. D. profit is maximized.
Refer to Goods X and Y. Which of the following can cause a parallel, outward shift in the budget line?
Assume that good X is on the horizontal axis and good Y is on the vertical axis in the consumer-choice diagram. PX denotes the price of good X, PY is the price of good Y, and I is the consumer's income. Unless otherwise stated, the consumer's preferences are assumed to satisfy the standard assumptions. a. A rise in the consumer's income. b. A rise in the marginal value of X in terms of Y. c. A fall in the price of good X. d. A fall in the price of good Y.
Decreasing returns to scale may occur as increasing the amount of inputs used
A) increases specialization. B) always increases the amount of output produced. C) may cause coordination difficulties. D) increases efficiency.
A friend of yours receives a government voucher for an apartment in a public housing project. This apartment represents
A) a government-sponsored good. B) the free-rider problem. C) a public good. D) the drop-in-the-bucket problem.