Which of the following is best considered a demand factor in economic growth?
A) the quantity of human resources
B) the quality of natural resources
C) the stock of capital goods
D) expanded purchases of goods and services

Question

Quizplus · Accepted Answer

Expanded purchases of goods and services represent an increase in consumer demand. As demand increases, businesses respond by producing more goods and services, which leads to economic growth. This is why expanded purchases are considered a demand factor in economic growth. The other options (A, B, and C) represent factors of production, which can contribute to economic growth, but are not specifically demand factors.

Which of the Following Is Best Considered a Demand Factor