A Basic Principle of Economics Is That a Country's Standard

question 229

Multiple Choice

A basic principle of economics is that a country's standard of living depends on its

• A)quantity of physical capital.
• B)abundance of natural resources.
• C)ability to produce goods and services.
• D)ability to thrive economically without having to interact with other countries.

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Definitions:

Correlations

A statistical measure that describes the extent to which two variables change together, indicating the strength and direction of their relationship.

Stock-Index Portfolios

Investment portfolios that aim to replicate the performance of a specific stock index, allowing investors to gain broad market exposure.

GDP Per Capita

An economic measure that calculates a country's economic output per person by dividing the GDP by the population.

Yield

The income return on an investment, such as the interest or dividends received, expressed as an annual percentage rate based on the investment's cost, its current market value, or its face value.