1) The best measure of long-term economic growth potential is changes in
a) nominal GDP.
b) real GDP per person.
c) real GDP.
d) nominal GDP per person.
I think it would be c here.
2) If the quantity of capital per worker in the economy increases,
a) the stock of human capital necessarily increases.
b) the stock of financial assets held by the public increases.
c) labor productivity increases.
d) the amount of money held by workers increases.
I think this one's c too.
3) A higher saving rate leads to faster growth because
a) more saving produces greater additions to capital per hour of labor, raising real GDP per person.
b) population growth would accelerate.
c) people could consume more of an economy's output.
d) capital would wear out faster.
I think it's a here.
-Thanks for any help.
a) nominal GDP.
b) real GDP per person.
c) real GDP.
d) nominal GDP per person.
I think it would be c here.
2) If the quantity of capital per worker in the economy increases,
a) the stock of human capital necessarily increases.
b) the stock of financial assets held by the public increases.
c) labor productivity increases.
d) the amount of money held by workers increases.
I think this one's c too.
3) A higher saving rate leads to faster growth because
a) more saving produces greater additions to capital per hour of labor, raising real GDP per person.
b) population growth would accelerate.
c) people could consume more of an economy's output.
d) capital would wear out faster.
I think it's a here.
-Thanks for any help.