A country's Real GDP can increase for brief periods of time

If either aggregate demand or its aggregate supply increases

Increases in worker productivity usually reflect

Increased education and improved equipment

The greatest threat to continued growth in the developed countries might be

Restrictive regulatory policies

Expected deflation can reduce Aggregate Demand by

Reducing the willingness to purchase big-ticket items

Increases in worker productivity usually reflect policies that encourage

Investment in physical and human capital

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Macroeconomics: Economic Growth

15 termsStudBud Administration112 plays

Adriana Serna

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Questions 15

Answers

1
Sustainable economic growth depends upon
Neither saving nor investment
Saving, not investment
Investment, not saving
Both saving and investment
2
As Real GDP increases, ceteris paribus, the slope of the Aggregate Supply curve
Decreases
Remains unchanged
Is always zero
Increases
3
The ultimate source of long-term growth in already developed countries is
A workforce that always works harder
Larger and more powerful government
Increased worker productivity
Unrestricted immigration
4
Aggregate Supply can always be increased as workers
Both A and C
Work harder
Are provided with better education, tools, and technology
Work smarter, better and more efficiently
5
A country's Real GDP can increase for brief periods of time
Only if its aggregate supply increases
Only if its aggregate demand increases
Only if both aggregate demand and aggregate supply increases
If either aggregate demand or its aggregate supply increases
6
Investment in physical and human capital is typically encouraged by
Lower taxes on returns to education
All of the above
Lower taxes on investment returns
Lower taxes on interest income
7
Increases in worker productivity usually reflect
Management that pushes workers to work longer and harder
Growth of labor unions
Elimination of unemployment benefit programs
Increased education and improved equipment
8
Aggregate Supply decreases when
Raw materials prices fall
Wages rise
Technology improves
Worker productivity increases
9
The greatest threat to continued growth in the developed countries might be
Moderate marginal tax rates
Low interest rates
Low inflation rates
Restrictive regulatory policies
10
Aggregate Demand is reduced by
Reduced taxes
Increased interest rates
A stronger dollar
Increased government spending
11
Expected deflation can reduce Aggregate Demand by
Reducing the willingness to purchase big-ticket items
Increasing nominal interest rates
Reducing the government's budget deficit
Reducing the purchasing power of money
12
Aggregate Demand is increased by
Increased taxes
Increased consumer confidence
A stronger currency
Increased interest rates
13
Aggregate Supply increases when
Wages fall
Raw materials prices rise
Wages rise
Government regulations prolifera
14
In developing economies, a fraction of the economy in non-market transactions can be as much as
75 percent
25 percent
10 percent
50 percent
15
Increases in worker productivity usually reflect policies that encourage
Investment in physical and human capital
Consumption
Population growth
Extensive government regulation of business

Macroeconomics: Economic Growth Flashcards | StudBud