Question 1

In an iron and steel plant with 4 blast furnaces,40 laborers produce 160 tons of pig iron every day.The labor productivity in the firm is equal to _____.

Accepted Answer

A) 0.25 ton per worker 
B) 4 tons per worker 
C) 10 tons per worker 
D) 0.1 ton per worker 
E) 40 tons per worker 
A) 0.25 ton per worker 
B) 4 tons per worker 
C) 10 tons per worker 
D) 0.1 ton per worker 
E) 40 tons per worker

Question 2

_____ is an example of an industrial cluster.

Accepted Answer

A) International Trade Union Confederation 
B) International Workers Association 
C) International Transport Workers' Federation 
D) Silicon Valley software makers 
E) International Affiliation of Writers Guilds 
A) International Trade Union Confederation 
B) International Workers Association 
C) International Transport Workers' Federation 
D) Silicon Valley software makers 
E) International Affiliation of Writers Guilds

Question 3

Which of the following statements reflects the belief of the critics of industrial policy?

Accepted Answer

A) The government allocates scarce resources more efficiently than markets. 
B) Industrial policy could evolve into a government giveaway program. 
C) Industrial policy gives domestic industries a competitive advantage over important trading partners. 
D) Industrial policy encourages unfavorable terms of trade with foreign countries. 
E) Industrial policy overprotects the domestic producers. 
A) The government allocates scarce resources more efficiently than markets. 
B) Industrial policy could evolve into a government giveaway program. 
C) Industrial policy gives domestic industries a competitive advantage over important trading partners. 
D) Industrial policy encourages unfavorable terms of trade with foreign countries. 
E) Industrial policy overprotects the domestic producers.

Question 4

Which of the following is a reason behind low standards of living in developing countries?

Accepted Answer

A) High human and physical capital per worker 
B) Low human and physical capital per worker 
C) Low birth rates 
D) High tax rates 
E) Low public expenditure 
A) High human and physical capital per worker 
B) Low human and physical capital per worker 
C) Low birth rates 
D) High tax rates 
E) Low public expenditure

Question 5

In the long run,changing technology on average has led to:

Accepted Answer

A) lower employment and lower wage rates. 
B) higher employment and lower wage rates. 
C) lower employment with wage rates unchanged. 
D) higher employment with wage rates unchanged. 
E) higher incomes and more leisure time. 
A) lower employment and lower wage rates. 
B) higher employment and lower wage rates. 
C) lower employment with wage rates unchanged. 
D) higher employment with wage rates unchanged. 
E) higher incomes and more leisure time.

Question 6

Gulmirah,a small underdeveloped country,has an adult population of 16.8 million,and the remaining 13.75 million of the population is below 18 years of age.The approximate output per capita of this country is $644.80.The GDP of Gulmirah is equal to approximately _____.

Accepted Answer

A) $8.87 billion 
B) $10.08 billion 
C) $20.30 billion 
D) $13.22 billion 
E) $19.70 billion 
A) $8.87 billion 
B) $10.08 billion 
C) $20.30 billion 
D) $13.22 billion 
E) $19.70 billion

Question 7

The movement from point A to point B in the figure below illustrates the effect of:

Accepted Answer

A) an increase in the capital stock relative to the workforce. 
B) an increase in the labor productivity growth rate. 
C) an increase in labor productivity because of higher quality capital. 
D) a decrease in labor productivity. 
E) a decrease in the capital stock. 
A) an increase in the capital stock relative to the workforce. 
B) an increase in the labor productivity growth rate. 
C) an increase in labor productivity because of higher quality capital. 
D) a decrease in labor productivity. 
E) a decrease in the capital stock.

Question 8

On-the-job experience causes labor productivity to increase through an improvement in human capital.

Accepted Answer

A) True 
 B)False

Question 9

According to Simon Kuznets,_____.

Accepted Answer

A) the main force behind economic growth is increases in the quantity of labor 
B) the main force behind economic growth is increases in the quantity of capital 
C) the main force behind economic growth is increases in the quality of inputs 
D) government regulations increase labor productivity 
E) government regulations decrease labor productivity 
A) the main force behind economic growth is increases in the quantity of labor 
B) the main force behind economic growth is increases in the quantity of capital 
C) the main force behind economic growth is increases in the quality of inputs 
D) government regulations increase labor productivity 
E) government regulations decrease labor productivity

Question 10

An increase in labor productivity necessarily means an increase in real GDP per capita if:

Accepted Answer

A) real GDP increases. 
B) the employment growth rate is greater than the population growth rate. 
C) the employment growth rate is less than the population growth rate. 
D) the size of the labor force remains constant. 
E) real GDP increases more rapidly than nominal GDP. 
A) real GDP increases. 
B) the employment growth rate is greater than the population growth rate. 
C) the employment growth rate is less than the population growth rate. 
D) the size of the labor force remains constant. 
E) real GDP increases more rapidly than nominal GDP.

Question 11

Which of the following would increase labor productivity?

Accepted Answer

A) A labor deepening production method 
B) A decrease in the amount of capital per unit of labor 
C) A lower unemployment rate 
D) Recruitment of new and young labor force 
E) An increase in the education level of per unit of labor 
A) A labor deepening production method 
B) A decrease in the amount of capital per unit of labor 
C) A lower unemployment rate 
D) Recruitment of new and young labor force 
E) An increase in the education level of per unit of labor

Question 12

Which of the following is an example of basic research?

Accepted Answer

A) Conducting animal tests to determine if a product contains irritants 
B) Soft drink bottlers testing consumer reactions to their advertisements 
C) A statistician calculating the odds of winning a promotional sweepstakes that a company is running 
D) A catalog sales company timing its operators to see how many calls each is handling per day 
E) A chemist building a mathematical model of the atmosphere of Jupiter 
A) Conducting animal tests to determine if a product contains irritants 
B) Soft drink bottlers testing consumer reactions to their advertisements 
C) A statistician calculating the odds of winning a promotional sweepstakes that a company is running 
D) A catalog sales company timing its operators to see how many calls each is handling per day 
E) A chemist building a mathematical model of the atmosphere of Jupiter

Question 13

Which of the following is assumed to be constant along a per-worker production function?

Accepted Answer

A) Output per worker 
B) Capital per worker 
C) Level of technology 
D) Amount of capital 
E) Amount of output 
A) Output per worker 
B) Capital per worker 
C) Level of technology 
D) Amount of capital 
E) Amount of output

Question 14

The figure below shows three different per-worker production functions: PF1,PF2,and PF3.The diminishing slopes of the curves reflect _____.

Accepted Answer

A) increasing returns to scale 
B) increasing marginal returns from capital 
C) diminishing marginal returns from capital 
D) decreasing returns to scale 
E) diminishing marginal returns from labor 
A) increasing returns to scale 
B) increasing marginal returns from capital 
C) diminishing marginal returns from capital 
D) decreasing returns to scale 
E) diminishing marginal returns from labor

Question 15

Which of the following is true of basic research?

Accepted Answer

A) Basic research is the search for knowledge that does not aim at answering a specific question. 
B) Basic research is research that is not complex since it addresses elementary questions. 
C) Basic research is research that seeks to apply scientific discoveries to the development of specific products. 
D) Basic research is the search for knowledge to solve a particular problem. 
E) Basic research is always funded by the central government of a country. 
A) Basic research is the search for knowledge that does not aim at answering a specific question. 
B) Basic research is research that is not complex since it addresses elementary questions. 
C) Basic research is research that seeks to apply scientific discoveries to the development of specific products. 
D) Basic research is the search for knowledge to solve a particular problem. 
E) Basic research is always funded by the central government of a country.

Question 16

Which of the following implies a decline in labor productivity in an economy?

Accepted Answer

A) A high rate of growth in capital formation 
B) An improvement in input quality 
C) A decrease in the production of goods and services 
D) An increase in the budget surplus in the economy 
E) A decrease in the prices of goods and services 
A) A high rate of growth in capital formation 
B) An improvement in input quality 
C) A decrease in the production of goods and services 
D) An increase in the budget surplus in the economy 
E) A decrease in the prices of goods and services

Question 17

Which of the following is included in physical capital?

Accepted Answer

A) Roads and bridges 
B) A university graduate in physics 
C) An astrophysicist 
D) A high school diploma or college degree 
E) A successful entrepreneur 
A) Roads and bridges 
B) A university graduate in physics 
C) An astrophysicist 
D) A high school diploma or college degree 
E) A successful entrepreneur

Question 18

Education makes workers aware of the latest production techniques and more receptive to new approaches and methods.

Accepted Answer

A) True 
 B)False

Question 19

The difference between basic and applied research is that:

Accepted Answer

A) basic research does not promote resource productivity while applied research does. 
B) applied research does not promote resource productivity while basic research does. 
C) basic research has less immediate payoff to society than applied research typically does. 
D) basic research occurs in science,while applied research occurs in industry. 
E) only the government promotes basic research. 
A) basic research does not promote resource productivity while applied research does. 
B) applied research does not promote resource productivity while basic research does. 
C) basic research has less immediate payoff to society than applied research typically does. 
D) basic research occurs in science,while applied research occurs in industry. 
E) only the government promotes basic research.

Question 20

The process of adding more capital per worker is called capital deepening.

Accepted Answer

A) True 
 B)False

In an iron and steel plant with 4 blast furnaces,40 laborers produce 160 tons of pig iron every day.The labor productivity in the firm is equal to _____.

_____ is an example of an industrial cluster.

Which of the following statements reflects the belief of the critics of industrial policy?

Which of the following is a reason behind low standards of living in developing countries?

In the long run,changing technology on average has led to:

Gulmirah,a small underdeveloped country,has an adult population of 16.8 million,and the remaining 13.75 million of the population is below 18 years of age.The approximate output per capita of this country is $644.80.The GDP of Gulmirah is equal to approximately _____.

The movement from point A to point B in the figure below illustrates the effect of:

On-the-job experience causes labor productivity to increase through an improvement in human capital.

According to Simon Kuznets,_____.

An increase in labor productivity necessarily means an increase in real GDP per capita if:

Which of the following would increase labor productivity?

Which of the following is an example of basic research?

Which of the following is assumed to be constant along a per-worker production function?

The figure below shows three different per-worker production functions: PF₁,PF₂,and PF₃.The diminishing slopes of the curves reflect _____.

Which of the following is true of basic research?

Which of the following implies a decline in labor productivity in an economy?

Which of the following is included in physical capital?

Education makes workers aware of the latest production techniques and more receptive to new approaches and methods.

The difference between basic and applied research is that:

The process of adding more capital per worker is called capital deepening.

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

In an iron and steel plant with 4 blast furnaces,40 laborers produce 160 tons of pig iron every day.The labor productivity in the firm is equal to _____.

_____ is an example of an industrial cluster.

Which of the following statements reflects the belief of the critics of industrial policy?

Which of the following is a reason behind low standards of living in developing countries?

In the long run,changing technology on average has led to:

Gulmirah,a small underdeveloped country,has an adult population of 16.8 million,and the remaining 13.75 million of the population is below 18 years of age.The approximate output per capita of this country is $644.80.The GDP of Gulmirah is equal to approximately _____.

The movement from point A to point B in the figure below illustrates the effect of:

On-the-job experience causes labor productivity to increase through an improvement in human capital.

According to Simon Kuznets,_____.

An increase in labor productivity necessarily means an increase in real GDP per capita if:

Which of the following would increase labor productivity?

Which of the following is an example of basic research?

Which of the following is assumed to be constant along a per-worker production function?

The figure below shows three different per-worker production functions: PF1,PF2,and PF3.The diminishing slopes of the curves reflect _____.

Which of the following is true of basic research?

Which of the following implies a decline in labor productivity in an economy?

Which of the following is included in physical capital?

Education makes workers aware of the latest production techniques and more receptive to new approaches and methods.

The difference between basic and applied research is that:

The process of adding more capital per worker is called capital deepening.

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

The figure below shows three different per-worker production functions: PF₁,PF₂,and PF₃.The diminishing slopes of the curves reflect _____.