Economics:
10th Edition
ISBN: 9781285859460
Author: BOYES, William
Publisher: Cengage Learning
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Question
Chapter 14, Problem 18E
To determine
To explain:
The factors that affect the variability of growth rate of real output.
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If GDP is currently $13 trillion and is growing at a rate of 4.1% per year,
how long will it take GDP to reach $26 trillion?
O about 17 years
O about 15 years
O about 25 years
O about 30 years
O Cannot be determined from information given.
. Suppose that society decided to reduce consumptionand increase investment.a. How would this change affect economic growth?b. What groups in society would benefit from thischange? What groups might be hurt?
. For a high-income economy like the United States, what aggregate production function elements are most important in bringing about growth in GDP per capita? What about a middle-income country such as Brazil? A low-income country such as Niger?
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- What is the best way to measure the rate of economics growth? a. By the annual percentage change in nominal GDP O b. By the annual percentage change in nominal GDP per capita O c. O d. By the annual percentage change in real GDP By the annual percentage change in real GNP per capita Oe. None of the abovearrow_forward2:37 PM Mon Apr 17 ents cordings O 3 camino.instructure.com It is impossible to determine which will be favored. Natural Resources Question 3 Which of the following policies would increase the likelihood of economic growth in a country which has recently discovered oil? O Dedicating some of the new revenue to the diversification of labor and capital. Increasing the salaries of government employees in the Energy Department. O Increasing government expenditures in anticipation of large future oil revenues. Dedicating some of the new revenue to intensive training in oil-related jobs. 35% Question 4arrow_forwardIn developed countries the phenomenon of population aging is happening because of longer life expectancy as well as lower birth rates and lower population growth rates. 1. Explain how the life-cycle theory can be used to deduce that while longer expected life increases individual and aggregate savings, a lower population growth rate may increase per capita saving in the short run but reduces it in the long run. 2. How does the LC theory suggest that immigration from developing countries maybe favorable for increasing aggregate consumption and savings in developed countries? In Pakistan there is currently a pensions crisis because the government did not plan pensions of public sector employees efficiently. Instead of raising funds from lifetime earnings of employees, and giving pensions as returns on savings, pensions currently require budgetary allocation in Pakistan, leading to financial burden on government. In developed countries like the US, where people plan their own…arrow_forward
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