Which of the Following Is Correct

question 24

Multiple Choice

Which of the following is correct?

• A)There is no debate about the effects of higher population growth on economic growth.
• B)Natural resources clearly place limits on growth;there is simply no way to reduce either the amount or type of natural resources needed to produce goods.
• C)How much an increase in capital increases a country's output is independent of that country's current level of capital.
• D)Economists argue that outward rather than inward policies are likely to promote economic growth.

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Definitions:

Close Substitutes

Goods or services that can serve as replacements for each other with little loss of utility to the consumer.

OPEC Oil Cartel

An international organization of oil-producing countries that coordinates and unifies the petroleum policies of its member states to stabilize oil markets and prices.

Inelastic

Describing demand that does not significantly change with the price changes of a good or service.

Income Elasticities

Refers to the sensitivity of the demand for a good to changes in the income of the consumers who buy this good.