Small Differences in Annual Growth Rates of Real GDP Generate

question 40

Multiple Choice

Small differences in annual growth rates of real GDP generate large differences in real GDP over time because of the:

• A)importance of average labor productivity.
• B)power of compound interest.
• C)diminishing returns to capital.
• D)limits of economic growth.

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Definitions:

Conjunct

In logic, a component of a compound statement formed by joining two statements with the word 'and'.

Conjunction

In linguistics, a term employed to link clauses or sentences together, or to arrange words within a single clause.

Disjuncts

Components in a logical expression that are combined with an OR operator, where the expression is true if at least one of the disjuncts is true.

Disjunction

An operation in logic that returns true when a minimum of one input is true.