Question 1

The population growth rate tends to be higher in developed countries than in developing countries.

Accepted Answer

The population growth rate tends to be higher in developing countries due to factors such as high birth rates and limited access to family planning services. Developed countries typically have lower population growth rates due to lower birth rates and better access to family planning services.

Question 2

In countries where women are discriminated against, policies that increase the likelihood of career success and educational opportunities for women are likely to decrease the birth rate.

Accepted Answer

When women are given more opportunities for education and career success, they are more likely to delay marriage and childbearing in favor of pursuing those opportunities. This can lead to a decrease in the birth rate. Additionally, when women are empowered and have more control over their own bodies and reproductive choices, they may choose to have fewer children.

Question 3

Countries with high population growth rates tend to have lower levels of educational attainment.

Accepted Answer

Countries with high population growth rates often struggle to provide adequate education and resources for their growing population, leading to lower levels of educational attainment. This can also be due to cultural and economic factors that prioritize other aspects of life, such as work and family, over education.

Question 4

A country's standard of living depends on its ability to produce goods and services.

Accepted Answer

A country's standard of living is determined by its ability to produce goods and services. The more a country can produce, the more it can provide for its citizens, which leads to higher standards of living.

Question 5

In addition to investment in physical and human capital, what other public policies might a country adopt to increase productivity?

Accepted Answer

The answer of In addition to investment in physical and...

Question 6

Some data that at first might seem puzzling: The share of GDP devoted to investment was similar for the United States and South Korea from 1960-1991. However, during these same years South Korea had a 6 percent growth rate of average annual income per person, while the United States had only a 2 percent growth rate. If the saving rates were the same, why were the growth rates so different?

Accepted Answer

The answer of Some data that at first might seem...

Question 7

What is the difference between human capital and technology?

Accepted Answer

The answer of What is the difference between human capital...

Question 8

Economist Michael Kremer found that world growth rates fell as population increased.

Accepted Answer

Michael Kremer's research actually showed that world growth rates increased as population increased, suggesting that a larger population can lead to increased innovation and productivity.

Question 9

Why is productivity related to the standard of living? In your answer be sure to explain what productivity and the standard of living mean. Make a list of things that determine labor productivity.

Accepted Answer

The answer of Why is productivity related to the standard...

Question 10

At first patents might seem like a deterrent to growth because in effect they restrict the use of new technology. Yet many economists believe that patents generate growth. Explain why.

Accepted Answer

The answer of At first patents might seem like a...

Question 11

In order to assess the level of prosperity in a nation in a given year, should we examine the level of that nation's real GDP per person, or should we examine the growth rate of that nation's real GDP per person?

Accepted Answer

The answer of In order to assess the level of...

Question 12

Why does a nation's standard of living depend on property rights?

Accepted Answer

The answer of Why does a nation's standard of living...

Question 13

Compare and contrast the population theories of Malthus and Kremer.

Accepted Answer

The answer of Compare and contrast the population theories of...

Question 14

What is a production function? Write an equation for a typical production function, and explain what each of the terms represents.

Accepted Answer

The answer of What is a production function? Write an...

Question 15

Use the data on U.S. real GDP below to compute real GDP per person for each year. Then use these numbers to compute the percentage increase in real GDP per person from 1993 to 2012.

Accepted Answer

The answer of Use the data on U.S. real GDP...

Question 16

The level of real GDP is a good measure of economic prosperity, and the growth of real GDP is a good measure of
__________.

Accepted Answer

The answer of The level of real GDP is a...

Question 17

The catch-up effect says that countries with low income can grow faster than countries with higher income.
However, in statistical studies that include many diverse countries we do not observe the catch-up-effect unless we control for other variables that affect productivity. Considering the determinants of productivity, list and explain some things that would tend to prohibit or limit a poor country's ability to catch up with the rich ones.

Accepted Answer

The answer of The catch-up effect says that countries with...

Question 18

How do outward-oriented policies affect a nation's productivity?

Accepted Answer

The answer of How do outward-oriented policies affect a nation's...

Question 19

Some economists argue that it is possible to raise the standard of living by reducing population growth. As an economist interested in incentives rather than coercion, what kind of policy would you recommend to slow population growth?

Accepted Answer

The answer of Some economists argue that it is possible...

Question 20

How would an economist typically assess the extent of economic progress in a nation?

Accepted Answer

The answer of How would an economist typically assess the...

Quiz 7: Production and Growth