In the long run, economic growth will lead to
I. the opportunity to produce more consumer goods.
II. the opportunity to produce more capital goods.
III. a higher material standard of living.
IV. a more equitable distribution of income.

Question

In the long run, economic growth will lead to 
I. the opportunity to produce more consumer goods.
II. the opportunity to produce more capital goods.
III. a higher material standard of living.
IV. a more equitable distribution of income.

Quizplus · Accepted Answer

Economic growth increases the capacity to produce both consumer and capital goods, leading to a higher material standard of living. However, it does not necessarily result in a more equitable distribution of income.

In the Long Run, Economic Growth Will Lead to