Question 1

Per capita GDP in the United States has declined since 1950.

Accepted Answer

A) True 
 B)False

Question 2

Productivity growth in the U.S.averaged approximately 3 percent per year between 1947 and 1973;it has averaged approximately 5 percent annually since then.

Accepted Answer

A) True 
 B)False

Question 3

The term "industrial policy" refers to:

Accepted Answer

A) the policy that industries develop to promote growth. 
B) the industrial policy related to marketing strategies. 
C) the illegal activity that firms sometimes engage in to reduce competition. 
D) the government policy that aims at enhancing the competitiveness of domestic firms. 
E) the government policy that primarily aims at protecting domestic jobs. 
A) the policy that industries develop to promote growth. 
B) the industrial policy related to marketing strategies. 
C) the illegal activity that firms sometimes engage in to reduce competition. 
D) the government policy that aims at enhancing the competitiveness of domestic firms. 
E) the government policy that primarily aims at protecting domestic jobs.

Question 4

Which of the following would slow down productivity growth?

Accepted Answer

A) A change in the composition of the workforce so that more middle-aged people and fewer young people are working 
B) A change in the composition of the workforce so that organizations hire more men who work steadily throughout the year than men who frequently enter and leave the workforce 
C) The quality of education remaining unchanged 
D) People starting to invest more in capital goods 
E) Firms starting to cut down the size of their labor force 
A) A change in the composition of the workforce so that more middle-aged people and fewer young people are working 
B) A change in the composition of the workforce so that organizations hire more men who work steadily throughout the year than men who frequently enter and leave the workforce 
C) The quality of education remaining unchanged 
D) People starting to invest more in capital goods 
E) Firms starting to cut down the size of their labor force

Question 5

The law of diminishing marginal returns states that as the quantity of capital per worker increases,other things constant,output per worker eventually:

Accepted Answer

A) increases at a constant rate. 
B) increases at a decreasing rate. 
C) increases at an increasing rate. 
D) decreases. 
E) remains constant. 
A) increases at a constant rate. 
B) increases at a decreasing rate. 
C) increases at an increasing rate. 
D) decreases. 
E) remains constant.

Question 6

In order for society to have a rising standard of living,output must grow:

Accepted Answer

A) at a slower rate than the labor force. 
B) at the same rate as the population. 
C) faster than the population. 
D) at a slower rate than the population. 
E) at a slower rate than infrastructure. 
A) at a slower rate than the labor force. 
B) at the same rate as the population. 
C) faster than the population. 
D) at a slower rate than the population. 
E) at a slower rate than infrastructure.

Question 7

Applied research is the search for knowledge without a clue about the end of the research.

Accepted Answer

A) True 
 B)False

Question 8

Basic research has less immediate payoff to society.

Accepted Answer

A) True 
 B)False

Question 9

Human capital represents:

Accepted Answer

A) the equipment that labor uses on-the-job to improve labor productivity. 
B) the ratio of capital to labor. 
C) the education,skill,and training embodied in workers. 
D) the technology developed by humans that is embodied in equipment. 
E) the social institutions created by people which promote the accumulation of equipment for production. 
A) the equipment that labor uses on-the-job to improve labor productivity. 
B) the ratio of capital to labor. 
C) the education,skill,and training embodied in workers. 
D) the technology developed by humans that is embodied in equipment. 
E) the social institutions created by people which promote the accumulation of equipment for production.

Question 10

A point on the per-worker production function shows:

Accepted Answer

A) the total output produced by the labor force of an industry on the vertical axis for each level of capital per worker on the horizontal axis. 
B) the marginal output per worker on the vertical axis for each level of worker per unit of capital on the horizontal axis. 
C) the marginal output per worker on the vertical axis for each level of capital per worker on the horizontal axis. 
D) the level of capital per worker on the vertical axis for respective average output per worker on the horizontal axis. 
E) the average output per worker on the vertical axis for each level of capital per worker on the horizontal axis. 
A) the total output produced by the labor force of an industry on the vertical axis for each level of capital per worker on the horizontal axis. 
B) the marginal output per worker on the vertical axis for each level of worker per unit of capital on the horizontal axis. 
C) the marginal output per worker on the vertical axis for each level of capital per worker on the horizontal axis. 
D) the level of capital per worker on the vertical axis for respective average output per worker on the horizontal axis. 
E) the average output per worker on the vertical axis for each level of capital per worker on the horizontal axis.

Question 11

Which of the following would be considered a developed country?

Accepted Answer

A) Pakistan 
B) Hong Kong 
C) India 
D) Argentina 
E) Brazil 
A) Pakistan 
B) Hong Kong 
C) India 
D) Argentina 
E) Brazil

Question 12

An increase in the production of capital goods and a reduction in the production of consumer goods would most likely lead to a faster rate of future economic growth.

Accepted Answer

A) True 
 B)False

Question 13

Capital deepening refers to:

Accepted Answer

A) an increase in the amount of capital per worker. 
B) an increase in the amount of workers per unit of capital. 
C) a decrease in the amount of capital per unit of output. 
D) an increase in the amount of output per unit of capital. 
E) an increase in the productivity of capital. 
A) an increase in the amount of capital per worker. 
B) an increase in the amount of workers per unit of capital. 
C) a decrease in the amount of capital per unit of output. 
D) an increase in the amount of output per unit of capital. 
E) an increase in the productivity of capital.

Question 14

A decrease in the capital-labor ratio would result in:

Accepted Answer

A) higher labor productivity because labor does more work. 
B) lower labor productivity because labor is working with relatively less capital. 
C) higher labor productivity because labor is producing less capital and more of other goods. 
D) lower labor productivity because more capital is available. 
E) higher labor productivity because more capital is available. 
A) higher labor productivity because labor does more work. 
B) lower labor productivity because labor is working with relatively less capital. 
C) higher labor productivity because labor is producing less capital and more of other goods. 
D) lower labor productivity because more capital is available. 
E) higher labor productivity because more capital is available.

Question 15

If Q is total real output,K is capital in use,and L is labor employed,then _____ is the formula to calculate the productivity of labor.

Accepted Answer

A) K/L 
B) L/K 
C) Q/L 
D) Q/K 
E) (Q + K)/L 
A) K/L 
B) L/K 
C) Q/L 
D) Q/K 
E) (Q + K)/L

Question 16

Productivity is measured as output per unit of productive input.

Accepted Answer

A) True 
 B)False

Question 17

Charlston,a newly industrialized country,has a female population of 2.8 million.There are 1.08 million employed males in the country,while the number of dependent males is equal to 1.52 million.The GDP of Charlston is U.S.$298 billion.The output per capita of Charlston is approximately equal to _____.

Accepted Answer

A) $275,925 
B) $55,185 
C) $196,035 
D) $275,955 
E) $79,810 
A) $275,925 
B) $55,185 
C) $196,035 
D) $275,955 
E) $79,810

Question 18

Since 1996,_____.

Accepted Answer

A) U.S.productivity growth has skyrocketed,at least initially,as more computers were installed 
B) the computer sector has grown faster than the U.S.economy as a whole 
C) spending on computers has been approximately constant as a fraction of total U.S.investment spending 
D) the contribution of computers to U.S.productivity growth has been negative 
E) computing technology has not improved enough to have a measurable impact on U.S.productivity 
A) U.S.productivity growth has skyrocketed,at least initially,as more computers were installed 
B) the computer sector has grown faster than the U.S.economy as a whole 
C) spending on computers has been approximately constant as a fraction of total U.S.investment spending 
D) the contribution of computers to U.S.productivity growth has been negative 
E) computing technology has not improved enough to have a measurable impact on U.S.productivity

Question 19

Basic research:

Accepted Answer

A) usually has a larger immediate payoff than applied research. 
B) is more practical than applied research. 
C) is the search for general knowledge without a specific product or procedure in mind. 
D) is research done by a firm to market a good. 
E) is research done by a firm during the production of a good. 
A) usually has a larger immediate payoff than applied research. 
B) is more practical than applied research. 
C) is the search for general knowledge without a specific product or procedure in mind. 
D) is research done by a firm to market a good. 
E) is research done by a firm during the production of a good.

Question 20

Improvements in technology shift the per-worker production function downward.

Accepted Answer

A) True 
 B)False

Per capita GDP in the United States has declined since 1950.

Productivity growth in the U.S.averaged approximately 3 percent per year between 1947 and 1973;it has averaged approximately 5 percent annually since then.

The term "industrial policy" refers to:

Which of the following would slow down productivity growth?

The law of diminishing marginal returns states that as the quantity of capital per worker increases,other things constant,output per worker eventually:

In order for society to have a rising standard of living,output must grow:

Applied research is the search for knowledge without a clue about the end of the research.

Basic research has less immediate payoff to society.

Human capital represents:

A point on the per-worker production function shows:

Which of the following would be considered a developed country?

An increase in the production of capital goods and a reduction in the production of consumer goods would most likely lead to a faster rate of future economic growth.

Capital deepening refers to:

A decrease in the capital-labor ratio would result in:

If Q is total real output,K is capital in use,and L is labor employed,then _____ is the formula to calculate the productivity of labor.

Productivity is measured as output per unit of productive input.

Since 1996,_____.

Basic research:

Improvements in technology shift the per-worker production function downward.

The Art and Science of Economic Analysis

Some Tools of Economic Analysis

Economic Decision Makers

Demand, Supply, and Markets

Introduction to Macroeconomics

Tracking the U S Economy

Unemployment and Inflation

Aggregate Demand

Aggregate Supply

Fiscal Policy

Federal Budgets and Public Policy

Money and the Financial System

Banking and the Money Supply

Monetary Theory and Policy

The Policy Debate: Active or Passive

International Trade

International Finance

Economic Development

Filters

Exam 8: Us Productivity and Growth

Per capita GDP in the United States has declined since 1950.

Productivity growth in the U.S.averaged approximately 3 percent per year between 1947 and 1973;it has averaged approximately 5 percent annually since then.

The term "industrial policy" refers to:

Which of the following would slow down productivity growth?

The law of diminishing marginal returns states that as the quantity of capital per worker increases,other things constant,output per worker eventually:

In order for society to have a rising standard of living,output must grow:

Applied research is the search for knowledge without a clue about the end of the research.

Basic research has less immediate payoff to society.

Human capital represents:

A point on the per-worker production function shows:

Which of the following would be considered a developed country?

An increase in the production of capital goods and a reduction in the production of consumer goods would most likely lead to a faster rate of future economic growth.

Capital deepening refers to:

A decrease in the capital-labor ratio would result in:

If Q is total real output,K is capital in use,and L is labor employed,then _____ is the formula to calculate the productivity of labor.

Productivity is measured as output per unit of productive input.

Since 1996,_____.

Basic research:

Improvements in technology shift the per-worker production function downward.

The Art and Science of Economic Analysis

Some Tools of Economic Analysis

Economic Decision Makers

Demand, Supply, and Markets

Introduction to Macroeconomics

Tracking the U S Economy

Unemployment and Inflation

Aggregate Demand

Aggregate Supply

Fiscal Policy

Federal Budgets and Public Policy

Money and the Financial System

Banking and the Money Supply

Monetary Theory and Policy

The Policy Debate: Active or Passive

International Trade

International Finance

Economic Development

Filters