Economic growth occurs because ?

Related Mcqs:

1. The Harrod Domar growth model suggests that growth is ?

   A. directly related to savings and inversely related to the capital/output ratio
   B. directly related to the capital/output ratio and inversely related to savings
   C. indirectly related to savings and the capital/output ratio
   D. directly related to savings and the capital/output ratio

2. In food demand growth equation D = Φ + a E, a is the income elasticity of demand for food E is the per capita income growth and Φ is ?

   A. Poverty rates
   B. food security index
   C. change in the quantity of food demanded per capita
   D. population growth

3. Economics in India Pakistan the Philippines and Mexico argue the foodgrain growth would not have kept up with population growth in the last four decades without ?

   I- improved packages of high-yielding seed varieties
   II- fertilizers, pesticides and irrigation
   III- improved transportation
   IV better extension service

   A. I and III only
   B. II and III only
   C. I, II and III only
   D. I, II, III and IV

4. Micheal Roemer’s three-sector model shows that growth in the booming export sector I- reduces the price of foreign exchange II- retards other sectors’ growth by reducing incentives to export other commodities III- reduces incentives to replace domestic goods for imports IV- raises factor and input prices for non-booming sectors ?

   A. I and III only
   B. II and III only
   C. I, II and III only
   D. I, II , III only IV

5. Given recent information about growth trends and growth potential of ethnic populations within the U.S market which of the following ethnic groups would be a best bet to double during the next half century and become one of the U.S market’s most viable segments ?

   A. Hispanics and Asians
   B. African Americans
   C. Western Europeans
   D. Middle Eastern

6. The belief that the rate of growth depends upon technological progress facilitated by institutions incentives and government is known as ________ growth theory?

   A. endogenous
   B. exogenous
   C. beta
   D. convergence

7. The neoclassical theory of growth identifier the steady state rate of growth as the ____ just sufficient to keep _____ constant while labor grows?

   A. saving, investment
   B. capital per person, productivity
   C. labor growth, output
   D. investment capital per person

8. The pattern of economic growth describes the phenomenon of countries moving up in technological development by following the patterns of countries ahead of them in the development process ?

   A. flying geese
   B. import substitution
   C. export orientation
   D. commodity expansion

9. The period of high inflation and low economic growth is termed as ?

   A. Stagnation
   B. Take-off stage in economy
   C. Stagflation
   D. None of these

10. If GNP per capita at constant prices for Ghana is US$360 and US$364 in 1996 and 1997 respectively, The real economic growth from 1996 to 1997 is ?

    A. 4%
    B. 1.11%
    C. 0.011%
    D. 11%