Which of the following is true?
A)The Rule of 70 says that the number of years necessary for a nation to double its output is approximately equal to the nation's growth rate divided by 70.
B)Economic growth is usually measured by the annual percent change in the nominal output of goods and services per capita.
C)An increase in labor input necessarily increases output per capita.
D)Neither the initial development process nor the sustained growth of an economy is dependent on a large natural resource base.

Question

Which of the following is true?
A)​The Rule of 70 says that the number of years necessary for a nation to double its output is approximately equal to the nation's growth rate divided by 70.
B)​Economic growth is usually measured by the annual percent change in the nominal output of goods and services per capita.
C)​An increase in labor input necessarily increases output per capita.
D)​Neither the initial development process nor the sustained growth of an economy is dependent on a large natural resource base.

Quizplus · Accepted Answer

D) is correct because economic growth and development can occur without a large natural resource base, as seen in countries that have focused on human capital, innovation, and technology to drive growth. A) is incorrect because the Rule of 70 involves dividing 70 by the growth rate to estimate the doubling time. B) is incorrect because economic growth is usually measured by the annual percent change in real (not nominal) output of goods and services per capita. C) is incorrect because an increase in labor input does not necessarily increase output per capita if it is not accompanied by increases in productivity or other factors.

Which of the Following Is True