Between 1966 and 1990 Singapore's GDP per capita grew at an average annual rate of 6.8%. During the same time frame its growth rate in total factor productivity was
A. 0.002
B. 0.012
C. 0.022
D. 0.032
E. 0.042
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Between 1966 and 1990 Hong Kong experienced a much higher growth rate of output than Singapore. This was at least partially due to the fact that Singapore had a government that
A. emphasized a laissez-faire attitude towards market activities
B. maintained much tighter control over market activities
C. discouraged a rapid pace of foreign investment in new technology
D. imposed strict population control programs
E. none of the above
There is no simple relationship between the proportion of investment to output and the growth rate of per-capita output since
A. population growth rates differ among countries
B. income growth rates differ among countries
C. the efficiency of investment among countries can vary widely
D. the savings rates among countries can vary widely
E. none of the above
If factor markets were perfectly competitive, then full employment would be the normal condition and
A. inflation would always be zero
B. output would rise steadily with price increases
C. there would never be any reason for prices to change
D. the AS-curve would be horizontal
E. the AS-curve would be vertical
In the medium run, if government purchases are increased and nominal money supply is decreased, we can expect that
A. aggregate demand and prices will increase but interest rates will not change
B. aggregate demand, prices, and the interest rate will all decrease
C. aggregate demand and interest rates will decrease but prices will increase
D. the AD-curve will shift to the right and the AS-curve will shift to the left
E. the interest rate will increase while aggregate demand and prices may increase, decrease, or remain the same