This quiz works best with JavaScript enabled. Home > Development > Growth > Economic Growth – Quiz 16 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Economic Growth Quiz 16 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Things that are made or grown and then sold. A) Goods. B) Productive. C) Service. D) None of above. Show Answer Correct Answer: A) Goods. 2. What happens to your money in the bank? A) Stays in the bank. B) Bank loans it out. C) Bank Invests it. D) Bank owner uses it as is own money. Show Answer Correct Answer: B) Bank loans it out. 3. NO.2 Which of the following is a necessary condition for sustainable development? A) Increase in the quality of life. B) Reduction in the level of pollution. C) Conservation of stock of natural capital. D) All of these. Show Answer Correct Answer: D) All of these. 4. What is likely to be the effect of a fall in oil prices on the global economy? A) A decrease in the rate of economic growth. B) A decrease in unemployment. C) A strengthening of cost-push inflation. D) A weakening of demand-pull inflation. Show Answer Correct Answer: B) A decrease in unemployment. 5. The total dollar value of all goods and services produced by a country in 1 year; you can think of it as the size of the economy. A) GDP (Gross Domestic Product). B) Child Labor. C) Per capita GDP. D) None of above. Show Answer Correct Answer: A) GDP (Gross Domestic Product). 6. Business spending on physical capital, new homes, and inventories is counted in which component of GDP? A) Consumption. B) Investment. C) Government spending. D) Imports-exports. Show Answer Correct Answer: B) Investment. 7. Oil is an important resource found in which country? A) Israel. B) Saudi Arabia. C) Turkey. D) None of above. Show Answer Correct Answer: B) Saudi Arabia. 8. The technique of spreading funds over large number of investments to reduce the portfolios overall risk A) Pension. B) Risk. C) Diversification. D) Savings. Show Answer Correct Answer: C) Diversification. 9. What can be an impact of a rising literacy rate within a nation? A) Fewer government positions needed. B) An improved quality of life with better jobs. C) A decrease in the quality of life. D) A decrease in the nation's economy. Show Answer Correct Answer: B) An improved quality of life with better jobs. 10. What is mixed economy A) A free market. B) The country's money. C) Market-base economics system with .limited government involvement. D) None of above. Show Answer Correct Answer: C) Market-base economics system with .limited government involvement. 11. Which of the following represents an investment in capital resources used to produce other goods? A) Providing free healthcare. B) Modernising machinery. C) Providing skills training. D) Reducing the cost of attending university. Show Answer Correct Answer: B) Modernising machinery. 12. The economy fluctuates between periods of ..... in the short run, but economic growth can occur in the long run. A) Expansion and contraction. B) Day and night. C) Fight or flight. D) War and peace. Show Answer Correct Answer: A) Expansion and contraction. 13. Calculate GDP per capita if GDP is £200 billion and the population is 40 million. A) £1, 000. B) £2, 000. C) £5, 000. D) £10, 000. Show Answer Correct Answer: C) £5, 000. 14. What is the currency of the United Kingdom? A) Pound. B) Ruble. C) Dollar. D) Euro. Show Answer Correct Answer: A) Pound. 15. What does standard of living mean? A) How to live where you are living. B) Different levels of living for different people. C) Standards of how everyone should live in countries. D) Levels of wealth and material comfort available in a country. Show Answer Correct Answer: D) Levels of wealth and material comfort available in a country. 16. Which of the following is an injection into the circular flow of income? A) Taxation. B) Savings. C) Exports. D) Imports. Show Answer Correct Answer: C) Exports. 17. Poor decisions made about how to organize farming in North Korea have resulted in many years of: A) Drought. B) Farmers refusing to work. C) Starvation. D) Arguments about what crops to grow. Show Answer Correct Answer: C) Starvation. 18. A measure of wealth, basic needs and material comfort a person has access to A) Quality of Life. B) Economic Growth. C) Standard of Living. D) Economic Development. Show Answer Correct Answer: C) Standard of Living. 19. Why would a government invest in human capital? A) To improve the skills of the labor force. B) To reduce competition between businesses. C) To improve the technology used by businesses. D) To reduce prices of goods demanded by consumers. Show Answer Correct Answer: A) To improve the skills of the labor force. 20. If a country experienced a substantial loss of property due to a natural disaster, what would the impact be on the PPC? A) An upwards shift along the PPC. B) A downwards shift along the PPC. C) An inwards shift of the PPC. D) An outwards shift of the PPC. Show Answer Correct Answer: C) An inwards shift of the PPC. ← PreviousNext →Related QuizzesDevelopment QuizzesEconomic Growth Quiz 1Economic Growth Quiz 2Economic Growth Quiz 3Economic Growth Quiz 4Economic Growth Quiz 5Economic Growth Quiz 6Economic Growth Quiz 7Economic Growth Quiz 8Economic Growth Quiz 9 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books