Which of the Following Factors Can Partly Explain the Long-Term

question 86

Multiple Choice

Which of the following factors can partly explain the long-term growth in production in the U.S.economy?

• A)Trade surpluses and accumulation of precious metals
• B)A gradual but consistent increase in the price level
• C)Growth in population
• D)Improvements in technology
• E)Federal government budget deficits

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Definitions:

Nonrivalry

A characteristic of certain goods where one person's consumption does not reduce availability to others, often associated with public goods.

Negative Externalities

Costs suffered by a third party as a result of an economic transaction which the parties directly involved in the transaction do not fully account for.

Public Good

A product that one individual can consume without reducing its availability to another individual and from which no one is excluded.

Marginal Benefit

The incremental utility or satisfaction derived from the consumption or production of an additional good or service unit.