Question

The historical evidence shows that:

Question 6 options:

	a) there is no connection between citizens' freedoms and economic prosperity.
	b) dictatorial governments invest wisely, because they have access to all relevant information.
	c) economic freedom is detrimental to growth, because market participants tend to make mistakes.
	d) a country's degree of freedom is related to the level of economic growth.

If it will take 10 years for a nation's income to double, then its growth rate must be 7%.

Question 7 options:

	a) True
	b) False

Total factor productivity would NOT change if:

Question 8 options:

	a) a major new source of oil was discovered.
	b) a major innovation occurred.
	c) a major disaster struck.
	d) a civil war ended.

The absence of well-defined and enforceable property rights often:

Question 9 options:

	a) brings about efficiency.
	b) improves society because it avoids the selfish actions of private property owners.
	c) causes people to work together for the good of all.
	d) inhibits investment because it is difficult to use capital as collateral.

The ability to use physical resources in creative ways to produce goods and services is known as:

Question 10 options:

	a) natural resources.
	b) entrepreneurial ability, technology, and ideas.
	c) labor.
	d) physical capital.

Answer 1

QUESTION 6 : The historical evidence shows that:

ANSWER : a country's degree of freedom is related to the level of economic growth.

A country's degree of freedom is very much related to the level of economic growth. An individual's ability to take economic decision can be defined as economic freedom. Different correlative studies had proved that country's freedom has relation with economic growth.