Which of the Following Can Partially Explain Long-Term Growth in Production

question 100

Multiple Choice

Which of the following can partially explain long-term growth in production?  

• A) improvements in the "rules of the game" that facilitate production and exchange 
• B) the peaks and troughs of the business cycle (or economic fluctuations) 
• C) trade surpluses that lead to accumulations of precious metals 
• D) federal government budget deficits

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Definitions:

Political Logrolling

The act of exchanging favors or support among politicians or parties, where one supports another's proposal in return for support of their own proposal.

Outcomes

The results or consequences of an action, process, or scenario.

Special-Interest Effect

Any political outcome in which a small group (“special interest”) gains substantially at the expense of a much larger number of persons who each individually suffers a small loss.