Exam 16: Creating an Environment for Growth and Prosperity

When competition is present and private ownership rights are clearly defined and securely enforced by the legal system, business firms will have a strong incentive to

If real GDP is increasing more rapidly than population,

The replacement of older products by newer improved ones is called

To move up the income ladder and achieve high-income status, countries must

During the past 200 years, income per person has

Which of the following is true?

Which of the following is most likely to help promote the efficient use of resources and rapid economic growth?

Measured in 1990 dollars, the GDP per person of the world was $667 in 1820. By 2003, the world's income per person had risen to

Which of the following would be most likely to cause the per capita income of less-developed countries to rise?

During the past several decades, foreign aid to sub-Saharan Africa

A legal system that protects private property and enforces contracts in an even-handed manner helps promote economic growth because it

Which of the following is a driving force underlying economic growth?

If the per capita income of a country is growing at 3.5 percent per year, approximately how long will it take for that income to double?

According to Angus Madison, a leading authority in the area, world per capita GDP

Which of the following will be required for a country to move up the income ladder and achieve high-income status?

Which of the following did Thomas Malthus believe would make sustained economic growth and the achievement of high income levels impossible?

Which of the following would be most likely to improve the standard of living of people in less-developed nations?

Which of the following is most important if the living standards of people residing in a country are going to improve?

If the legal and regulatory environment fails to protect property rights and is often used to favor some at the expense of others, which of the following is most likely to be encouraged?

Private ownership and competitive markets are important for economic growth because they provide individuals with a strong incentive to