Why might an economist argue that it could be damaging to the economic growth of a nation if it focused mostly on the production of consumer goods?
What will be an ideal response?
The reason for concern is that focusing too much on the production of consumer goods necessarily implies cutting back on the production of capital goods. The problem is that economic growth is dependent on the production of capital goods.
Difficult: M
Economics
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An unexpected fall in the Producer Price Index should send bond prices __________ and stock prices __________
A) up; up B) up; down C) down; up D) down; down
Economics
Goldin (2001) gives the U.S. investment in public education credit for boosting the U.S. labor force participation rates and helping the U.S. economy develop
Indicate whether the statement is true or false
Economics