Comparative GDP

A. Megabank buys a new computer
B. Naila pays her university tuition fees.
C. OGDC leases a new oil field
D. Indus Motors buys a new drill press

A. None of these answers
B. There has been an increase in foreign portfolio investment in the UK
C. Once the plant starts producing cars UK GDP will rise less than UK GNP
D. once the plant starts producing cars UK GDP will rise more than UK GNP

A. Toyota builds a new plant in the north of England
B. EDF of France buys shares in Scottish & Southern Energy of the UK, and Scottish & Southern Energy uses the Proceeds to build a new hydro-electric power station in Scotland
C. Deutsche Bank of Germany buys some new software from UK Supplier
D. JCB builds a new plant near Manchester

A. A farmer sends his child to agricultural college and the child returns to work on the farm
B. A farmer hires another day laborer
C. A farmer buys another tractor
D. A farmer discovers that it is better to plant in the spring rather than in the fall

A. none of these answers
B. an ever-increasing population is constrained only by the food supply resulting in chronic faminies
C. technological progress will continuously generate improvement in productivity and living standards.
D. labor is the only true factor of production

A. a renewable natural resource
B. physical capital
C. technology
D. a non-renewable natural resource

A. Countries all have the same growth rate and level of output because any country can obtain the same factors of production
B. Countries have great variance in both the level and growth rate of GDP/person thus poor countries can become relatively rich over time
C. Countries may have different level of GDP/person but they all grow at the same reate
D. Countries may have a different growth rate but they all have the same level of GDP/person

A. a reduction in current investment
B. a reduction in current consumption
C. a reduction in taxes
D. a reduction in current saving

A. it is doomed to being relatively poor forever
B. none of these answers
C. an increase in capital will likely have little impact on output
D. it has the potential to grow relatively quickly due to the “catch-up-effect”
E. It must be a small nation.

A. real GDP per person
B. nominal GDP per person.
C. Real GDP
D. The growth rate of nominal GDP per person