Chapter 27 Post Quiz
The Process of Economic Growth

Matching Questions:

Match the terms on the left with the definition in the column on the right. Enter the lowercase letter of that definition in the box to the left of the question number.

	1. Economic growth	a. a wheel of economic growth.
	2. Outward shift	b. refers to changes in the processes of production or the introduction of new products or services.
	3. Technology	c. occurs when capital grows faster than the labor force.
	4. Productivity	d. assumed that land was limited.
	5. A	e. the ratio of output to a weighted average of inputs.
	6. Technological change	f. focuses on explaining the kinds of technological change and how they affect economic growth.
	7. Malthus	g. is used to show economic growth on a country's PPF.
	8. Neoclassical model of economic growth	h. technology in the formula Q=AF(K,L,R).
	9. Capital deepening	i. refers to the expansion of a country's potential GDP.
	10. Steady state	j. assumes that there is a single homogenous good produced by capital and labor.
	11. New growth theory	k. where capital deepening will stop, real wages stop growing, and real interest rates stop growing.
	12. Total factor productivity	l. fell in the 1970s, but has been making an upturn since the late 1990s.
	13. Productivity growth	m. the growth of output less the growth of the weighted sum of all inputs.