How are technological advance and capital formation related?
What will be an ideal response?
Technology usually promotes capital investment, encouraging purchases of new machinery and equipment. Also, capital formation usually involves technological advance, as new purchases are usually of better technology and thus bring an industry into a faster, more efficient capacity. In this way, technology and capital formation go hand in hand.
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GDP in a country grew from $10 billion to $14 billion over the span of 5 years. The percentage change in GDP was
A) 4%. B) 7%. C) 10%. D) 40%.
Explain why the EMS countries decided to fix their exchange rates against the German DM
What will be an ideal response?
A 401(k) account means that the maximum amount of savings that can be deposited is $401,000.
A. True B. False C. Uncertain
The mountainous terrain of a particular town allows its inhabitants to produce only coffee or eucalyptus oil. An increase in the opportunities for workers employed in coffee plantations is likely to:
a. shift the labor demand curve for the eucalyptus industry leftward. b. shift the labor demand curve for the eucalyptus industry rightward. c. shift the labor supply curve for the eucalyptus oil industry leftward. d. shift the labor supply curve for the eucalyptus oil industry rightward.