If a Country's Real GDP Is Rising by 3% Per

question 124

Multiple Choice

If a country's real GDP is rising by 3% per year while its population is rising at 5% per year, which of the following is true?

• A)The country's standard of living is falling.
• B)The country's standard of living is rising.
• C)Growth in nominal GDP outweighs growth in the population.
• D)Growth in nominal GDP is less than the growth in the population.
• E)Nominal GDP per capita must be constant.

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Definitions:

Cross-cultural Generality

The extent to which psychological findings apply across different cultural contexts.

Developing Nations

Countries with a lower level of industrialization, lower living standards, and lower Human Development Index (HDI) than developed countries.

Raymond Cattell

A psychologist known for his theory of personality that differentiates between fluid and crystallized intelligence.

Factor Analysis

A statistical method for studying the interrelations among various tests. The goal is to discover whether the tests are all influenced by the same factors, or by distinct factors.