All of the Following Are Economic Implications of the 1995-2010

question 118

Multiple Choice

All of the following are economic implications of the 1995-2010 rise in the average rate of productivity growth except

• A) a lower natural rate of unemployment.
• B) larger outward shifts of the economy's production possibilities curve.
• C) an end to the business cycle.
• D) a greater rate of economic growth.

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Definitions:

Modernization Theory

A theory suggesting that societies progress linearly from traditional to modern states, emphasizing the role of technology and economic development in this transition.

Dependency Theory

A socioeconomic theory suggesting that resources flow from poor, underdeveloped states to wealthy states, enriching the latter at the expense of the former.

World Systems Theory

A socio-economic theory that suggests the world is divided into core, semi-peripheral, and peripheral countries, with wealth and power concentrated in the core.

Commodity Chain

The network of production and labor processes by which a product becomes a finished commodity. By following the commodity chain, it is evident which countries gain profits and which ones are being exploited.