Economic Growth Is Generally Measured by the Rate of Increase

question 11

Multiple Choice

Economic growth is generally measured by the rate of increase in

• A) population.
• B) the price level.
• C) output per hour of labor.
• D) technological change.
• E) per capita output.

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Definitions:

Inelastic Supply

A market condition where the quantity supplied of a good does not change significantly when its price changes.

Inelastic Demand

The case in which the price elasticity of demand is less than 1.

FICA

FICA stands for the Federal Insurance Contributions Act and is a United States federal payroll tax that funds Social Security and Medicare programs.

Payroll Tax

A tax on the earnings an employer pays to an employee.