Question :
31) A diagram of a productivity curve has
A) real GDP : 1228337
31) A diagram of a productivity curve has
A) real GDP per hour of labor on the y-axis and capital per hour of labor on the x-axis.
B) real GDP per hour of labor on the y-axis and hours of labor on the x-axis.
C) capital per hour of labor on the y-axis and real GDP per hour of labor on the x-axis.
D) real wages per hour on the y-axis and real GDP per hour of labor on the x-axis.
E) real GDP per hour of labor on the y-axis and real wages per hour on the x-axis.
32) The productivity curve
A) has a positive slope.
B) has a negative slope.
C) is vertical.
D) is horizontal.
E) is U-shaped.
33) Suppose that an Intel worker rearranges existing machines and labor and increases the quantity of chips Intel can produce. Using the productivity curve graphed, this innovation would be described as
A) a movement upward along the curve.
B) a movement downward along the curve.
C) a shift of the curve upward.
D) a shift of the curve downward.
E) no change to the productivity curve.
34) If capital per hour of labor increases, GDP per hour of labor
A) decreases for a given level of technology.
B) increases because the level of technology advances.
C) increases for a given level of technology.
D) decreases because the level of technology decreases.
E) changes only if technology also advances.
35) If capital per hour of labor decreases, real GDP per hour of labor
A) decreases because the level of technology decreases.
B) increases because the level of technology increases.
C) increases for a given level of technology.
D) decreases for a given level of technology.
E) changes only if technology also advances.
36) If the level of technology rises, GDP per hour of labor
A) increases for any level of capital per hour of labor.
B) increases because the level of capital per hour of labor increases.
C) decreases for a given level of capital per hour of labor.
D) decreases because the level of capital per hour of labor decreases.
E) does not change because GDP increases only when capital or labor increases.
37) A technological change ________ and a change in the capital stock ________.
A) shifts the productivity curve; shifts the productivity curve
B) shifts the productivity curve; creates a movement along the productivity curve
C) creates a movement along the productivity curve; shifts the productivity curve
D) does not change the productivity curve; creates a movement along the productivity curve
E) does not change the productivity curve; shifts the productivity curve
38) Labor productivity equals ________.
A) real GDP × aggregate hours
B) real GDP ÷ aggregate hours
C) aggregate hours ÷ real GDP
D) aggregate hours × labor productivity
E) aggregate hours ÷ labor productivity
39) Labor productivity equals
A) real GDP divided by the capital stock.
B) real GDP divided by the population.
C) total wages divided by real GDP.
D) real GDP divided by aggregate hours.
E) aggregate hours divided by employment.
40) If real GDP is $1,200 billion, the population is 60 million, and aggregate hours are 80 billion, labor productivity is
A) $5.00 an hour.
B) $6.67 an hour.
C) $15.00 an hour.
D) $20,000.
E) $150 an hour.
41) If aggregate hours are 100 billion hours and labor productivity is $40 an hour, than real GDP equals
A) $100 billion.
B) $40 billion.
C) $100 trillion.
D) $2.5 trillion.
E) $4 trillion.
42) Which of the following lists gives factors that increase labor productivity?
A) saving and investment in physical capital, and wage increases
B) expansion of human capital, labor force increases, and discovery of new technologies
C) expansion of human capital, population growth, and discovery of new technologies
D) saving and investment in physical capital, expansion of human capital, and discovery of new technologies
E) labor force increases and wage increases
43) Growth in physical capital depends most directly upon the
A) amount of saving and investment.
B) number of firms in the nation.
C) speed of population growth.
D) amount of government expenditures.
E) level of human capital.
44) Human capital is
A) the same as labor productivity.
B) a measure of the number of labor hours available.
C) the accumulated skills and knowledge of workers.
D) the average number of years of schooling of the labor force.
E) is what people are born with and cannot be changed.
45) The productivity curve shifts upward when
A) physical capital increases.
B) human capital decreases.
C) hours of labor increase.
D) hours of labor decrease.
E) technology advances.
