How do population growth and economic growth impact global poverty?
What will be an ideal response?
Poverty has to do with how much output individuals have access to or the standard of living for a country. Economic growth, which is an increase in output or real GDP, is important in reducing poverty, but population growth also plays a role. If GDP increases more rapidly than the population, then the value of output divided by the population (per capita GDP) rises. If GDP increases, but at a slower rate than the population, there is less output available per person and per capita GDP falls. This is a common problem in poor countries where the population growth rates are typically much higher than in rich countries.
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A market in which there is only one seller, and there is no close substitute for the product being sold, is called
A) perfect competition. B) monopolistic competition. C) monopoly. D) oligopoly.
Which of the following statements regarding principal-agent relations is CORRECT?
A) Workers are principals for managers. B) Stockholders are agents. C) Managers are both principals and agents. D) All of the above answers are correct.
If marginal product is a constant what can we conclude about the shape of the average product function and why?
What will be an ideal response?
Gold certificates, special drawing rights, the reserve position of the IMF, and the holdings of foreign currencies represent:
A) physical assets. B) reserve assets. C) monetary assets. D) none of the above.