Chapter 16 - Economic Growth and Productivity

1		Until the time of _____________ living standards did not change very much from one generation to the next.
			A)	the Middle Ages
			B)	the Industrial Revolution
			C)	the Civil War
			D)	World War I
			E)	the computer age
2		Per Capita Real GDP rose most rapidly in the United States during the decade of the
			A)	1930s.
			B)	1940s.
			C)	1950s.
			D)	1980s.
3		Statement I. Our productivity growth was faster in the 1960s than in any subsequent decade. Statement II. Our productivity growth fell in the mid-1970s.
			A)	Statement I is true and statement II is false.
			B)	Statement II is true and statement I is false.
			C)	Both statements are true.
			D)	Both statements are false.
4		For most years between the late 1970s and late 1990s our rate of productivity growth was
			A)	below 1 percent.
			B)	below 2 1/2 percent.
			C)	between 2 1/2 percent and 4 percent.
			D)	over 4 percent.
5		Statement I: Our net national savings rate began to rise in the mid-1990s. Statement II: Foreigners have invested heavily in the U.S. in recent years.
			A)	Statement I is true and statement II is false.
			B)	Statement II is true and statement I is false.
			C)	Both statements are true.
			D)	Both statements are false.
6		The typical married-couple family with children put in
			A)	substantially fewer hours of work in 1999 than in 1989.
			B)	slightly fewer hours of work in 1999 than in 1989.
			C)	slightly more hours of work in 1999 than in 1989.
			D)	substantially more hours of work in 1999 than in 1989.
7		Since the mid-1990s the poverty rate has ______ and the crime rate has ___________.
			A)	risen, risen
			B)	fallen, fallen
			C)	risen, fallen
			D)	fallen, risen
8		Statement I: Immigration has added billions of dollars to our GDP. Statement II: Because of a labor shortage in the late 1990s and in 2000, the Immigration and Naturalization Service stopped trying to pick up illegal aliens.
			A)	Statement I is true and statement II is false.
			B)	Statement II is true and statement I is false.
			C)	Both statements are true.
			D)	Both statements are false.
9		Economist Robert Gordon believes that the labor productivity gains of the late 1990s were
			A)	understated by the official statistics.
			B)	confined almost entirely to computer manufacturing, and, more generally, to durable goods manufacturing.
			C)	confined largely to the service industries.
			D)	widely diffused across almost the entire economy.
10		Statement I: Today the American automobile worker is nearly twice as productive as his Japanese counterpart. Statement II: The rate of technological change may well be the single most important determinant of a nation's rate of economic growth.
			A)	Statement I is true and statement II is false.
			B)	Statement II is true and statement I is false.
			C)	Both statements are true.
			D)	Both statements are false.
11		Retail productivity in Japan is
			A)	much higher than that in the U.S.
			B)	somewhat higher than that in the U.S.
			C)	somewhat lower than that in the U.S.
			D)	much lower than that in the U.S.
12		Each of the following has been responsible for a slowdown in our productivity growth in the mid- 1970s except
			A)	our low savings rate.
			B)	our low rate of investment.
			C)	our declining quality of labor.
			D)	rising levels of immigration.
13		The 10 poorest countries in the world all have per capita GDPs of less than
			A)	$100.
			B)	$200.
			C)	$300.
			D)	$400.
			E)	$500.
14		Each of the following is among the world's 10 richest with respect to per capita GDP except
			A)	Luxembourg.
			B)	Denmark.
			C)	Spain.
			D)	Japan.
			E)	Germany.
15		The world's population tends to grow in a geometric progression while the food supply tends to grow in an arithmetic progression is a theory formulated by
			A)	John Maynard Keynes.
			B)	Robert Gordon.
			C)	Mancur Olson.
			D)	Thomas Robert Malthus.
			E)	Edward S. Denison.