Which of the following is not a reason that capital deepening is an important source of economic growth?

(A) More investment funds are made available to businesses.
(B) Investment in human capital causes workers to be more valuable to employers.
(C) Enhanced training programs improve the productivity of workers.
(D) More physical capital improves efficiency and productivity.

Ans: (A) More investment funds are made available to businesses.

Economics

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Banks have attempted to maintain adequate profit levels by

A) making fewer riskier loans, such as commercial real estate loans. B) pursuing new off-balance-sheet activities. C) increasing reserve deposits at the Fed. D) decreasing capital accounts.

Economics

Does low human capital cause poverty or does poverty cause low human capital?

A. The causality works both ways. B. Poverty causes low human capital, not the other way around. C. There is no causal link between low human capital and poverty. D. Low human capital causes poverty, not the other way around.

Economics