Question 1

An increase in a country's population may contribute to the rate of technological progress because a larger population

Accepted Answer

A larger population increases the size of the potential pool of scientists, inventors, and engineers, which can contribute to technological progress through their innovations and discoveries.

Question 2

Because of its effect on the amount of capital per worker,in the short term an increase in the working population is likely to

Accepted Answer

An increase in the working population, without a corresponding increase in capital, will lead to a decrease in the amount of capital per worker, which will reduce productivity. This effect is likely to be larger in poor countries where capital is scarce. Therefore, the best choice is C.

Question 3

A rapid increase in the number of workers,other things the same,is likely in the short term to

Accepted Answer

In the short term, a rapid increase in the number of workers is likely to increase real GDP due to the increase in labor input. However, since the increase in output is not matched by an increase in capital or technology, there will be diminishing returns to labor and therefore a decrease in real GDP per person.

Question 4

Electronics firms may be able to get patents on their ideas.Doing so makes their ideas

Accepted Answer

By obtaining a patent, the electronics firm is able to protect their idea and prevent others from using or copying it without permission. This makes the idea a private good rather than a public good, as it is no longer freely available for anyone to use. This exclusivity gives people more incentive to engage in research, as they can potentially profit from their ideas and innovations.

Question 5

If over a short time there is an increase in the number of people retired and a decrease in the number of people working,then productivity

Accepted Answer

The answer of If over a short time there is...

Question 6

If the best educated and most skilled persons leave a country,then in the short term this country's human capital per worker

Accepted Answer

When highly educated and skilled individuals leave a country, it results in a brain drain, which means that the country loses its most valuable human capital. This loss will lead to a decrease in the country's human capital per worker in the short term. However, the physical capital per worker may increase because those who leave the country may sell their assets, such as property or stocks, which will increase the physical capital available. Therefore, only the option D is correct, stating that human capital per worker will decrease but physical capital per worker will increase.

Question 7

Thomas Malthus's predictions turned out to be wrong due to

Accepted Answer

Technological advances such as those during the Industrial Revolution resulted in increased agricultural productivity and the ability to extract and use resources more efficiently, which allowed for a larger population to be sustained. Additionally, Malthus did not anticipate the impact of improvements in healthcare and sanitation that reduced mortality rates, which further increased the population.

Question 8

Malthus predicted that the power of population

Accepted Answer

Malthus predicted that population growth would outpace agricultural production, leading to widespread famine. However, technological advances in agriculture have allowed food production to keep up with or exceed population growth, proving his forecast incorrect.

Question 9

In the fourteenth century it is estimated that deaths resulting from the bubonic plague reduced the population by about a third.Assuming diminishing returns,the decrease in population should have

Accepted Answer

With diminishing returns, a decrease in population should increase productivity, as there are fewer people to share resources and thus more resources available per person. This increased productivity should also lead to an increase in real GDP per person. Therefore, choice A is the best answer.

Question 10

Which of the following is correct?

Accepted Answer

The answer of Which of the following is correct?
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Question 11

Once an idea enters society's pool of knowledge,the idea becomes a

Accepted Answer

When an idea enters society's pool of knowledge, it becomes accessible to everyone and can benefit the public as a whole. Thus, it is considered a public good. It is not a private good because it is not owned by any individual or entity. It is not a proprietary good because it is not exclusive to any company or individual who holds a patent or copyright on it. While it may be a societal good, this term is not commonly used in this context.

Question 12

Which of the following countries achieved higher economic growth,in part by mandating a reduction in population growth?

Accepted Answer

China implemented the one-child policy in 1979, which mandated a reduction in population growth, resulting in a significant decrease in the population growth rate. This policy, alongside other economic reforms, contributed to China's economic growth, making it one of the world's fastest-growing economies.

Question 13

Which of the following is not correct?

Accepted Answer

Population growth rates vary widely by country and are not consistently 3% in developed countries and 5% in developing countries. In fact, many developed countries have much lower growth rates, and some have even experienced negative growth.

Question 14

Which of the following is true?

Accepted Answer

Kremer's argument is that a larger population results in more ideas that can lead to economic growth, while Malthus argued that population growth would eventually outstrip agricultural production, leading to a decline in living standards. This is the correct statement of their respective arguments.

Question 15

Other things the same,an increase in population growth

Accepted Answer

An increase in population growth decreases capital per worker because the same amount of capital is spread over more workers. However, a larger population can lead to more ideas and innovation, potentially increasing the pace of technological progress.

Question 16

In medieval Europe an important technological advance was the use of the padded horse collar for plowing.Once this idea was thought of,other people used it.This illustrates that knowledge is generally a

Accepted Answer

The use of the padded horse collar for plowing was a technological advance that was not restricted to a single individual or group. Once the idea was thought of, it could be shared and used by others, without diminishing the ability of anyone else to use it. This illustrates that knowledge is a public good, which means that it is non-excludable (people cannot be easily prevented from using it) and non-rivalrous (one person's use of it does not reduce the ability of others to use it).

Question 17

If over a short time a large number of teenagers become old enough to find employment and a much smaller number of people retire,then productivity

Accepted Answer

The answer of If over a short time a large...

Question 18

Which of the following is an observation made by economist Michael Kremer?

Accepted Answer

Michael Kremer observed that world growth rates increased as the population increased, suggesting a positive relationship between population size and technological innovation.

Question 19

Rapid population growth

Accepted Answer

Rapid population growth leads to a decrease in capital per worker, which can hamper economic prosperity. This is because resources and capital are spread thin across a larger population, resulting in a lower standard of living overall.

Question 20

In the 19th century John Deere took out a patent on a newly designed plow that incorporated steel to make plowing faster.Many farmers bought plows from his company and he made millions.This example shows that patents turn an idea into a

Accepted Answer

Patents provide exclusive rights to the inventor to prevent others from making, using or selling the invention for a certain period of time. This turns the idea into a private good, as the inventor has the ability to profit from it and control its distribution.

Quiz 12: Production and Growth: Economic Growth and Public Policy