Long-run economic growth is the process by which productivity increases
A) the employment rate.
B) the average standard of living.
C) the size of the labour force.
D) federal tax revenues.

Question

Quizplus · Accepted Answer

Long-run economic growth is the process of increasing output and productivity over an extended period of time. As productivity increases, the economy is able to produce more goods and services with the same amount of resources. This leads to an increase in the average standard of living as people have access to a greater quantity and variety of goods and services. The employment rate, size of the labour force, and federal tax revenues may also be affected by economic growth, but they are not the primary focus of long-run economic growth.

Long-Run Economic Growth Is the Process by Which Productivity Increases