Question 1

If you earn a subsistence-level income,much of your time is spent acquiring:

Accepted Answer

If you earn a subsistence-level income, much of your time will be spent acquiring basic necessities such as food, clothing, and shelter. This is because having these necessities is essential for survival and meeting daily needs. Other options such as luxury items, tax cuts, education and training, or entertainment and consumer electronics may not be priorities when basic needs are not being met.

Question 2

In 1350,average world income was roughly:

Accepted Answer

B

Question 3

Which of the following statements best describes the average standard of living for much of human history,prior to the Industrial Revolution?

Accepted Answer

B

Question 4

Average world income began to increase rapidly during:

Accepted Answer

The Industrial Revolution brought about significant technological advancements and improvements in productivity, which led to an increase in average world income. Prior to the Industrial Revolution, people primarily engaged in agriculture, and their daily income was just enough to meet their basic needs. The revolution brought about the growth of factories, mass production of goods, and advancements in transportation, communication, and infrastructure that significantly improved the quality of life, leading to higher average world income.

Question 5

In 2000,annual real per capita gross domestic product (GDP) in the United States was around ___________,whereas in China,it was around ___________.

Accepted Answer

In 2000, the United States had a higher per capita GDP than China, with the US at around $44,000 and China at around $5,200.

Question 6

Real per capita gross domestic product (GDP) is defined as:

Accepted Answer

Real per capita GDP is the measure of the average level of income in a country. It is calculated by dividing the real GDP of a country by its population.

Question 7

Average income in Western Europe in 1600 was roughly:

Accepted Answer

The answer of Average income in Western Europe in 1600...

Question 8

Average world income began to rapidly rise during the Industrial Revolution because:

Accepted Answer

The pace of technological innovation outpaced population growth during the Industrial Revolution, leading to increased productivity and efficiency in manufacturing and agriculture. This resulted in higher average incomes for people across the world.

Question 9

According to the textbook,which of the following countries is not considered a "wealthy nation"?

Accepted Answer

The textbook explicitly states that Liberia is one of the poorest nations in the world, with a GDP per capita of around $500. Therefore, it is not considered a wealthy nation. The other countries listed (Denmark, Israel, Germany, and the United States) are generally considered to be among the wealthiest nations in the world.

Question 10

An increase in the amount of household wealth in an economy would ___________ the average standard of living and would ___________ the spending power experienced by the typical person.

Accepted Answer

An increase in household wealth would raise the average standard of living because people would have more money to spend and would be able to afford more goods and services. It would also improve the spending power experienced by the typical person, as they would have more money to spend on their needs and wants.

Question 11

According to the World Bank,the 31 wealthiest countries in the world tended to have much lower rates of ___________ and much higher rates of ___________ when compared to the 40 poorest countries.

Accepted Answer

The answer of According to the World Bank,the 31 wealthiest...

Question 12

Residents of wealthy countries tend to have longer life expectancies because:

Accepted Answer

Higher per capita real gross domestic product (GDP) growth rates in wealthy countries enable more spending on health care, leading to better health outcomes and longer life expectancies.

Question 13

Economic growth is defined as:

Accepted Answer

Economic growth is typically measured by the percent change in real per capita GDP, which accounts for inflation and population changes, providing a more accurate reflection of an economy's improvement in living standards.

Question 14

Long-run per capita world income growth was basically flat until around what year?

Accepted Answer

Long-run per capita world income growth was basically flat until around 1800, after which it started to grow at an accelerating rate due to the Industrial Revolution and technological advancements.

Question 15

In 2000,annual real per capita gross domestic product (GDP) in Western Europe was around ___________,whereas in India,it was around ___________.

Accepted Answer

According to the information given, annual real per capita GDP in Western Europe was around $31,000 in 2000, and in India, it was around $2,900 in 2000. Therefore, the closest option is choice E, which has the values reversed.

Question 16

Per capita real gross domestic product (GDP) is higher in the United States than in Mexico.Based on that,we could predict the United States to have a higher rate of ___________ and a lower rate of ___________.

Accepted Answer

Per capita real GDP is positively correlated with access to technology and healthcare, so we can expect the United States to have a higher rate of internet users and lower infant mortality rate compared to Mexico. Option D is the only choice that includes both of these factors.

Question 17

Residents of poor countries tend to have higher rates of infant mortality because:

Accepted Answer

Lower per capita real gross domestic product (GDP) growth rates allow for less spending on health care, leading to higher rates of infant mortality in poor countries.

Question 18

Higher rates of economic growth are negatively correlated with:

Accepted Answer

The statement is indicating that countries with higher rates of economic growth have a shorter life expectancy, which means they have less access to healthcare and other resources that may improve the general population's health.

Question 19

In 1800,the average income of U.S.citizens was roughly:

Accepted Answer

According to historical data, the average income of U.S. citizens in 1800 was around $2,000. Choices A, B, and E are all significantly lower than this amount, and choice C is a modern-day income and therefore not applicable to 1800.

Question 20

Residents of poor countries tend to have fewer automobiles per capita because:

Accepted Answer

Lower per capita real gross domestic product (GDP) growth rates in poor countries mean that people have less money to spend on automobiles.

Quiz 11: Economic Growth and the Wealth of Nations