In: Economics
#11.1
A competitive market system
discourages growth unless government protects domestic firms from foreign competition.
encourages growth by allowing producers to make profitable investment decisions based on market signals.
discourages growth because firms busy competing have no time to innovate or invest.
encourages growth by ensuring that everyone in society will receive a decent standard of living.
#10.1
Other things equal, if a full-employment economy reallocated a substantial quantity of its resources to capital goods, we would expect
labor productivity to rise.
future consumption to fall.
a lower rate of growth of real GDP.
present consumption to rise.
#7.1
Unanticipated inflation tends to penalize
people who save money in financial institutions.
businesses which borrow money from financial institutions.
governments that have a progressive personal income tax.
individuals who borrow money from financial institutions.
11.1 Option B.
10.1 Option A.
7.2 Option A.