Economic Growth Occurs When

question 52

Multiple Choice

Economic growth occurs when

• A)a large part of a country's population is poor.
• B)a society sacrifices an amount of one good for more of another along its production possibility frontier.
• C)a society acquires additional resources or when its technology advances.
• D)there is unemployment of labor but other resources are used efficiently.
• E)the combinations of goods and services that can be produced decreases.

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Definitions:

Artificially Scarce Good

A product or service whose supply is deliberately limited, often to maintain high prices or for other non-market reasons.

Excludable

Excludable describes a good or service that one can prevent others from using unless they pay for it, characterized by the ability to exclude non-payers.

Nonrival

A characteristic of a good whereby one person's consumption does not reduce availability to others, often associated with public goods.

Nonrival

A characteristic of a good whereby one individual's consumption of the good does not reduce its availability for consumption by others.