Which of the Following Is Most Important If a Country

question 82

Multiple Choice

Which of the following is most important if a country is going to achieve and sustain rapid economic growth?

• A) large government expenditures as a share of GDP
• B) institutions and policies that are supportive of competition (open markets) and freedom of exchange.
• C) free elections and political democracy
• D) monetary policy makers who are willing to expand the supply of money rapidly

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Definitions:

Demand

The level of demand for a good or service that purchasers have the desire and financial ability to acquire at varying prices over a designated period.

Supply Curve

A graph that shows the relationship between the price of a good and the quantity of the good that producers are willing to sell at various prices.

Demand Curve

A visual diagram illustrating the connection between a product's price and the amount consumers are willing to purchase.

Motorcycle Manufacturers

Companies that design, produce, and market motorcycles and potentially other motorized two-wheeled vehicles.