Question : 7.3   Long-Run Growth 1) We can safely say that total output : 1381393

 

7.3   Long-Run Growth

 

1) We can safely say that total output can decrease if there is a(n)

A) increase in the size of the labor force and an increase in the productivity of workers.

B) increase in the size of capital and an increase in the productivity of machines.

C) increase in the number of machines per worker.

D) decrease in the number of workers per machine.

 

2) The per-hour output produced by a worker describes the

A) labor force participation rate.

B) capital per worker ratio.

C) nominal worker growth standard.

D) productivity of workers.

 

3) The number of tools or machines each worker has to work with measures the

A) average wage rate of workers.

B) labor force participation rate.

C) capital per worker ratio.

D) productivity of workers.

4) The ratio of total output to the total number of worker hours measures

A) productivity.

B) capital per worker.

C) the ratio of labor cost to total cost.

D) labor force participation.

 

5) For the 1952-2012 period in the United States, productivity

A) decreased during the 1960s.

B) increased at a constant rate.

C) showed the largest increase during the 1980s.

D) fluctuated in the short run around an upward trend.

 

6) Which of the following best explains the growth in output per worker hour during the 20th century?

A) the quality of labor declined during that period

B) the quantity of labor increased during that period

C) the quality of capital improved during that period

D) the worker capital ratio increased during that period

 

7) Which of the following is a desirable feature in an economy?

A) rapid increase in output per worker

B) low inflation

C) low unemployment

D) all of the above

8) Which of the following is a desirable characteristic in an economy?

A) low inflation

B) rapid increase in the general price level

C) high unemployment

D) low employment

 

9) Which of the following is NOT a desirable characteristic in an economy?

A) growing per-capita output

B) rapid increase in the general price level

C) low unemployment

D) population growing slower than output

 

10) Which of the following is NOT a desirable characteristic in an economy?

A) growing per-capita output

B) low inflation

C) low unemployment

D) population increasing faster than output

 

11) Output in an economy can be decreased by

A) adding more workers.

B) limiting the work week.

C) using more machines.

D) all of the above

12) In economics, the mental or physical skills people have is called

A) personal investment.

B) human capital.

C) external education.

D) intuition.

 

13) U.S. productivity grew the fastest in which of the following decades?

A) 1960s

B) 1970s

C) 1980s

D) 1990s

 

14) A depression is

A) deflation with economic growth.

B) a general increase in the price level.

C) a prolonged and deep recession.

D) most common in an expansionary economy.

 

15) Which of the following is NOT considered economic capital?

A) a factory a company builds to produce other output

B) a tractor produced by John Deere

C) the knowledge an individual acquires through education

D) 1,000 U.S. dollars