The Total Factor Productivity of an Economy Is the Ratio

question 5

Multiple Choice

The total factor productivity of an economy is the ratio of the economy's _____.

• A) total income to its total population
• B) output to its total stock of labor and capital
• C) stock of capital to its stock of labor
• D) total population to its total labor force
• E) total capital stock to its total population

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Definitions:

Trading Securities

Financial instruments that are purchased by a company not for long-term investment but rather with the intention to trade in the short term for profit.

Unrealized Holding

Gains or losses on investments that a company has not sold yet and hence are not recorded in the financial statements.

Fair Value

The price that would be received for selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

Debt Securities

Financial instruments representing a loan made by an investor to a borrower, typically featuring fixed terms, including interest payments and future repayment of principal.