What are the major factors affecting the long-term growth of the economy's output?
What will be an ideal response?
The major factors are population growth and average labor productivity.
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A strong majority of economists support the proposition that the material, not psychological, conditions of the slaves compared favorably with those conditions faced by industrial workers before the Civil War
Indicate whether the statement is true or false
In economics, a difference in access to relevant knowledge is called a behavioral asymmetry
a. True b. False Indicate whether the statement is true or false
According to the theory of purchasing power parity, why should identical goods have the same price in different locations?
a. To prevent price gouging, international law mandates that identical goods must be sold for the same currency-adjusted price across all locations. b. If the goods were two different prices, it would cause an increase in supply of the good at the low-price location and a decrease in supply of the good at the high-price location, which would cause the prices in each location to converge to the same price. c. If the goods were two different prices, it would cause an increase in supply of the good at the high-price location and a decrease in supply of the good at the low-price location, which would cause the prices in each location to converge to the same price. d. If the goods were two different prices, it would cause a decrease in demand of the good at the low-price location and an increase in demand of the good at the high-price location, which would cause the prices in each location to converge to the same price.| e. If the good were two different prices, it would cause an increase in demand of the good solely at the low-price location until that good reached the sameprice as the good in the high-price location.
Which of the following statements draws a false conclusion?
A. Life expectancy in an average African country is lower than in an average European country; therefore Europeans can expect to outlive Africans. B. Nations that currently produce no capital goods, and whose inhabitants are hungry, risk famine with internally funded capital investments. C. Some African nations have substantially more food and capital investment than others; therefore, their standard of living is higher. D. Population reduction policies, if effective, can improve the nation's wealth by increasing real per capita GDP.