Which Is Best Considered a Supply Factor for Long-Run Economic

question 30

Multiple Choice

Which is best considered a supply factor for long-run economic growth?

• A)government spending
• B)the stock of capital goods
• C)full employment of resources
• D)personal consumption expenditures

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Definitions:

R&D Spending

Research and Development (R&D) spending refers to the amount of money a company or country allocates towards research and innovation to develop new products, processes, or technology.

Interest-Rate Cost

The expense incurred from borrowing money, essentially the price paid for the use of borrowed funds, or, for investors, the returns from lending.

R&D Expenditure

R&D Expenditure refers to the funds allocated by firms or governments towards research and development to foster innovation and growth.

Scientific Characteristics

The inherent or distinctive attributes and features of scientific inquiry and methodology, such as objectivity, empirical evidence, and systematic experimentation.