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

Related Mcqs:

1. If the economy is in the expansionary phase of the business cycle, aggregate demand ____ unemployment ____ inflation ____ payments is likely to move towards ____?

   A. falls; rise; falls; surplus
   B. is static; low; rise; deficit;
   C. falls; falls; falls; surplus
   D. rise; falls; rises; deficit

2. In the neoclassical theory of growth a higher saving rate leads to ?

   A. a higher growth rates
   B. a fluctuating growth rate
   C. a fluctuating growth rates
   D. no change in the growth rate

3. If two countries start with the same real GDP/person and one country grows at 2 percent while the other grows at 4 percent ?

   A. one country will always have 2 percent more real GDP/person than the other
   B. the standard of living in the country growing at 4 percent will start to accelerate away from the slower growing country due to compound growth
   C. the standard of living in the two countries will converge
   D. Next year the country growing at 4 percent will have twice the GDP/person as the country growing at 2 percent

4. 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

5. If The Central bank tries to keep the interest rate constant when the economy is operating on the steep part of the AS curve, _________ will occur?

   A. a hyperinflation
   B. a depression
   C. stagflation
   D. a recession

6. Economic growth may depend upon _____ and _____?

   A. Population size, x-efficiency
   B. Population age distribution, education
   C. Population growth technical progress
   D. Population growth education

7. We would normally expect the size of the labor force to be _____ than the number or workers willing to accepts job offers at any real wage rate ?

   A. Smaller
   B. Larger
   C. the same size
   D. None of these

8. Which of the following is true with regard to a tax on labor income? Taxes on labor income tend to encourage ?

   A. the unscrupulous to enter the underground economy
   B. the elderly to retire early.
   C. all the things described in these answers.
   D. second earners to stay home.
   E. workers to work fewer hours

9. Assume that Country A is relatively abundant in labor and Country B is relatively abundant in land Note that wages are the returns to labor and rents are the returns to land According to the factor price equalization theorem, once Country A begins specializing according to comparative advantage and trading with Country B: A. wages and rents should fall in Country A B. wages and rents should rise in Country A C. wages should rise and rents should fall in Country A D. wages should fall and rents should raise in Country A ?

   XA. wages and rents should fall in Country A
   B. wages and rents should rise in Country A
   C. wages should rise and rents should fall in Country A
   D. wages should fall and rents should raise in Country A

10. one of the tenets of the classical view of the labor market is that the wage adjustments that are necessary to clear the labor market occur ?

    A. quickly
    B. slowly
    C. very infrequently
    D. instantly