A. endogenous
B. exogenous
C. beta
D. convergence
Long Term Economic Growth
A combined measure of productivity that takes account of both labor and capital productivity is known as ?
A. total exploitation
B. labour/capital productivity
C. total factor productivity
D. total productivity
Governments can stimulate productivity by ?
A. Imposing higher taxes on capital
B. encouraging more labour intensive work to reduce unemployment
C. reducing spending in education
D. encouraging private investment
GDP per head may be an imperfect measure of economic welfare because it excludes ?
A. the value of leisure
B. Externalities
C. Untraded goods
D. Change in the distribution of income
E. All of the above
The neoclassical theory of growth identifier the steady state rate of growth as the …. just sufficient to keep ….. constant while labor grows?
A. saving, investment
B. capital per person, productivity
C. labor growth, output
D. investment capital per person
The business cycle describes fluctuations in output around the?
A. trend path of output
B. boom
C. recession
D. short-run fluctuations in output
All of the following are parts of the business cycle except ?
A. boom
B. slump
C. recovery
D. acceleration
The multiplier accelerator model assumes …. depends on ……?
A. consumption expected future profits
B. investment, interest rates
C. investment expected future profits
D. stock building interest rates
The impossibility of negative gross investment provides a …… to fluctuation in ……?
A. ceiling, stock building
B. ceiling, capital prices
C. floor, output
D. floor, the capital-output ratio
Real business cycle theories suggest that ….. to correct departures from the desired growth path?
A. There is a role for fiscal policy
B. There is a role for monetary policy
C. There is a role for supply-side policy
D. There is a role for stabilizing output ever the business cycle