Question 1

_____ had the highest level of per capita real output in 2012.​

Accepted Answer

A) Canada 
B) The United States​ 
C) Italy​ 
D) France​ 
E) Germany​ 
A) Canada 
B) The United States​ 
C) Italy​ 
D) France​ 
E) Germany​ B

Question 2

When firms in the same industry locate in the same geographic region,it is known as dumping.​

Accepted Answer

A) True 
 B)False  False

Question 3

According to some economists,firms in some industries gain a performance advantage by:​

Accepted Answer

A) dumping. 
B) charging a zero price for products. 
C) clustering. 
D) reducing R&D spending. 
E) increasing labor wage. 
A) dumping. 
B) charging a zero price for products. 
C) clustering. 
D) reducing R&D spending. 
E) increasing labor wage. C

Question 4

One of the important points of criticism of industrial policy is that:​

Accepted Answer

A) it can lead to stiff competition among the domestic firms in an economy. 
B) small domestic firms will not be able to survive economic clustering. 
C) government sponsored research will end up benefitting foreign countries. 
D) it can prohibit regional innovations. 
E) the knowhow in one firm will not spill over to other firms in an economy. 
A) it can lead to stiff competition among the domestic firms in an economy. 
B) small domestic firms will not be able to survive economic clustering. 
C) government sponsored research will end up benefitting foreign countries. 
D) it can prohibit regional innovations. 
E) the knowhow in one firm will not spill over to other firms in an economy.

Question 5

The share of research and development funding supported by the private sector has increased over the past three decades.​

Accepted Answer

A) True 
 B)False

Question 6

The figure below shows a per-worker production function.The bowed shape of the per-worker production function illustrates the law of diminishing returns to scale.​
​
Figure 8.2

Accepted Answer

A) True 
 B)False

Question 7

If population increases,which of the following will be true?​

Accepted Answer

A) GDP will increase. 
B) GDP per capita will fall at a faster rate than the increase in population. 
C) GDP must increase if the same standard of living is to be maintained. 
D) The labor force must increase if the same standard of living is to be maintained. 
E) Overall demand will increase,but per capita aggregate demand will remain constant. 
A) GDP will increase. 
B) GDP per capita will fall at a faster rate than the increase in population. 
C) GDP must increase if the same standard of living is to be maintained. 
D) The labor force must increase if the same standard of living is to be maintained. 
E) Overall demand will increase,but per capita aggregate demand will remain constant.

Question 8

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

Accepted Answer

A) True 
 B)False

Question 9

Industrial policy involves governments using taxes,subsidies,and regulations to nurture the development of specific industries.

Accepted Answer

A) True 
 B)False

Question 10

A water bottle manufacturing plant uses a three-step procedure to produce each unit of bottle.The first step is casting,which needs 35 workers to operate the furnace.The second step is quenching,which needs 35 workers.At the third step,bottles are prepared for dispatch in the assembly line with the help of 70 workers.If the factory produces 14,000 bottles per day,then the productivity of labor in the factory is equal to _____.​

Accepted Answer

A) 200 bottles per worker 
B) 400 bottles per worker​ 
C) 100 bottles per worker​ 
D) 140 bottles per worker​ 
E) 220 bottles per worker​ 
A) 200 bottles per worker 
B) 400 bottles per worker​ 
C) 100 bottles per worker​ 
D) 140 bottles per worker​ 
E) 220 bottles per worker​

Question 11

If per capita GDP growth exceeds labor productivity growth,then:​

Accepted Answer

A) human capital must be increasing. 
B) the labor-capital ratio must be decreasing. 
C) employment must be growing faster than population. 
D) population must be growing faster than employment. 
E) physical capital must be increasing. 
A) human capital must be increasing. 
B) the labor-capital ratio must be decreasing. 
C) employment must be growing faster than population. 
D) population must be growing faster than employment. 
E) physical capital must be increasing.

Question 12

The growing use of computers led to a substantial increase in the overall U.S.productivity growth from 1995 to 2005.​

Accepted Answer

A) True 
 B)False

Question 13

The production possibilities frontier of an economy is based on the assumption that the:​

Accepted Answer

A) amount of consumer goods produced in the economy is constant during a given year. 
B) quality of labor available in the economy is variable during a given year. 
C) patent laws applicable in the economy are constant during a given year. 
D) level of technology available in the economy is variable during a given year. 
E) economy can either produce capital goods or consumer goods during a given year. 
A) amount of consumer goods produced in the economy is constant during a given year. 
B) quality of labor available in the economy is variable during a given year. 
C) patent laws applicable in the economy are constant during a given year. 
D) level of technology available in the economy is variable during a given year. 
E) economy can either produce capital goods or consumer goods during a given year.

Question 14

In contrast to government research and development,private sector R&D has:​

Accepted Answer

A) more impact on productivity since most government R&D focuses narrowly on military applications. 
B) more impact on productivity since most government R&D focuses narrowly on the service sector. 
C) more impact on productivity since most government R&D focuses narrowly on not-for-profit activities. 
D) less impact on productivity since the government is more motivated and able to hire better people and facilities. 
E) less impact on productivity since firms tend to hold back on research when results are easily copied. 
A) more impact on productivity since most government R&D focuses narrowly on military applications. 
B) more impact on productivity since most government R&D focuses narrowly on the service sector. 
C) more impact on productivity since most government R&D focuses narrowly on not-for-profit activities. 
D) less impact on productivity since the government is more motivated and able to hire better people and facilities. 
E) less impact on productivity since firms tend to hold back on research when results are easily copied.

Question 15

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 16

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 17

Which of the following countries had the highest percentage of young adults with a college degree in 2012?​

Accepted Answer

A) Norway 
B) Canada​ 
C) Japan​ 
D) France​ 
E) Italy​ 
A) Norway 
B) Canada​ 
C) Japan​ 
D) France​ 
E) Italy​

Question 18

A group of musicians performing at a concert for charity in New York is an example of a cluster in economics.​

Accepted Answer

A) True 
 B)False

Question 19

Which of the following is most likely to increase productivity growth,as measured using GDP statistics?​

Accepted Answer

A) Reduced capital formation 
B) Decreased human capital​ 
C) Increased research and development​ 
D) Increased government regulation​ 
E) Higher price of a raw material​ 
A) Reduced capital formation 
B) Decreased human capital​ 
C) Increased research and development​ 
D) Increased government regulation​ 
E) Higher price of a raw material​

Question 20

Which of the following does not contribute to labor productivity growth?​

Accepted Answer

A) A steepening of the per-worker production function 
B) An increase in the amount of capital per unit of labor​ 
C) A growth in the labor force​ 
D) An improvement in the quality of capital​ 
E) A decrease in the labor-capital ratio​ 
A) A steepening of the per-worker production function 
B) An increase in the amount of capital per unit of labor​ 
C) A growth in the labor force​ 
D) An improvement in the quality of capital​ 
E) A decrease in the labor-capital ratio​

_____ had the highest level of per capita real output in 2012.

When firms in the same industry locate in the same geographic region,it is known as dumping.

According to some economists,firms in some industries gain a performance advantage by:

One of the important points of criticism of industrial policy is that:

The share of research and development funding supported by the private sector has increased over the past three decades.

The figure below shows a per-worker production function.The bowed shape of the per-worker production function illustrates the law of diminishing returns to scale. Figure 8.2

If population increases,which of the following will be true?

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

Industrial policy involves governments using taxes,subsidies,and regulations to nurture the development of specific industries.

If per capita GDP growth exceeds labor productivity growth,then:

The growing use of computers led to a substantial increase in the overall U.S.productivity growth from 1995 to 2005.

The production possibilities frontier of an economy is based on the assumption that the:

In contrast to government research and development,private sector R&D has:

Which of the following is included in physical capital?

According to Simon Kuznets,_____.

Which of the following countries had the highest percentage of young adults with a college degree in 2012?

A group of musicians performing at a concert for charity in New York is an example of a cluster in economics.

Which of the following is most likely to increase productivity growth,as measured using GDP statistics?

Which of the following does not contribute to labor productivity growth?

The Art and Science of Economic Analysis

Economic Tools and Economic Systems

Economic Decision Makers

Demand, supply, and Markets

Introduction to Macroeconomics

Tracking the Useconomy

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

Macro Policy Debate: Active or Passive

International Trade

International Finance

Economic Development

Filters

Exam 8: Productivity and Growth

_____ had the highest level of per capita real output in 2012.​

When firms in the same industry locate in the same geographic region,it is known as dumping.​

According to some economists,firms in some industries gain a performance advantage by:​

One of the important points of criticism of industrial policy is that:​

The share of research and development funding supported by the private sector has increased over the past three decades.​

The figure below shows a per-worker production function.The bowed shape of the per-worker production function illustrates the law of diminishing returns to scale.​ ​ Figure 8.2

If population increases,which of the following will be true?​

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

Industrial policy involves governments using taxes,subsidies,and regulations to nurture the development of specific industries.

If per capita GDP growth exceeds labor productivity growth,then:​

The growing use of computers led to a substantial increase in the overall U.S.productivity growth from 1995 to 2005.​

The production possibilities frontier of an economy is based on the assumption that the:​

In contrast to government research and development,private sector R&D has:​

Which of the following is included in physical capital?​

According to Simon Kuznets,_____.​

Which of the following countries had the highest percentage of young adults with a college degree in 2012?​

A group of musicians performing at a concert for charity in New York is an example of a cluster in economics.​

Which of the following is most likely to increase productivity growth,as measured using GDP statistics?​

Which of the following does not contribute to labor productivity growth?​

The Art and Science of Economic Analysis

Economic Tools and Economic Systems

Economic Decision Makers

Demand, supply, and Markets

Introduction to Macroeconomics

Tracking the Useconomy

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

Macro Policy Debate: Active or Passive

International Trade

International Finance

Economic Development

Filters

_____ had the highest level of per capita real output in 2012.

When firms in the same industry locate in the same geographic region,it is known as dumping.

According to some economists,firms in some industries gain a performance advantage by:

One of the important points of criticism of industrial policy is that:

The share of research and development funding supported by the private sector has increased over the past three decades.

The figure below shows a per-worker production function.The bowed shape of the per-worker production function illustrates the law of diminishing returns to scale. Figure 8.2

If population increases,which of the following will be true?

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

If per capita GDP growth exceeds labor productivity growth,then:

The growing use of computers led to a substantial increase in the overall U.S.productivity growth from 1995 to 2005.

The production possibilities frontier of an economy is based on the assumption that the:

In contrast to government research and development,private sector R&D has:

Which of the following is included in physical capital?

According to Simon Kuznets,_____.

Which of the following countries had the highest percentage of young adults with a college degree in 2012?

A group of musicians performing at a concert for charity in New York is an example of a cluster in economics.

Which of the following is most likely to increase productivity growth,as measured using GDP statistics?

Which of the following does not contribute to labor productivity growth?