If country X has a higher capital per person than country Y, then ________
A) country X is richer than country Y
B) the only way for country X to be richer than country Y is if X is just as productive (has the same TFP) as Y
C) the only way for country Y to be richer than country X is if Y is more productive (has a higher TFP) than X
D) the only way for country X to be richer than country Y is if X is less productive (has a lower TFP) than Y
E) none of the above
C
You might also like to view...
If the money multiplier is approximated to be 10, it means:
A. banks create 10 dollars in deposits from each original deposit of a dollar. B. banks create approximately 10 times the amount of cash in the economy. C. the economy overall has 10 times the amount of deposits as existing cash. D. All of these are true.
Tommy spends most of his monthly budget on $3 video game rentals or $6 packets of baseball cards. The opportunity cost to Tommy of an extra packet of baseball cards is
A. one video game rental. B. two video game rentals. C. the cost of the baseball cards. D. he does not incur an opportunity cost.
At one unit of output AVC is
A. zero. B. less than marginal cost. C. infinite. D. equal to marginal cost.
What is the future value of $1,000 in three years if the rate of discount is equal to 5 percent?
A) $1,150.00 B) $1,005.00 C) $1,157.63 D) $863.84