Which Two of the Following Are Factors Affecting a Country's

question 4

Multiple Choice

Which two of the following are factors affecting a country's capacity to efficiently produce goods and services in the long term?

• A) Its willingness to run budget deficits
• B) The flexibility of its monetary policy
• C) Its investment in human capital
• D) Its level of institutional sophistication and institutional reliability

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Definitions:

Public Park

An area of natural, semi-natural or planted space set aside for human enjoyment and recreation or for the protection of wildlife or natural habitats.

Tragedy Of The Commons

A parable that illustrates why common resources are used more than is desirable from the standpoint of society as a whole.

Playground Equipment

Installations and structures designed for play activities in public or private playgrounds, including slides, swings, and climbing frames.

Free-Rider Problem

The free-rider problem occurs when individuals benefit from resources, goods, or services without paying for them, leading to under-provision or depletion of those resources.