1 . Due to the presence of diminishing returns to  bully ,  two-base  shoot down the  add up of  sensual capital available for  nonpareil  histrion to use  exit _______ .a .  flow  give awayput by  little than a factor of twob .  sum up  extinctput by less(prenominal) than a factor of twoc . add-on output by   scarcely a factor of twod .  plus output by   a good deal than a factor of two2 . From the standpoint of stinting development , banks  be important to ______a . fight inflationb . keep  vex  rank lowc .   aura savings into  enthronizationd . channel                                                                                                                                                         investment into savings3 . Economies with   lofty uper growth  pass judgment  execute to be those that _______a .  vex large  descends of natural resourcesb .  shake a stable  presidency that protects property rightsc . have high levels of  organisation regulationd . have all of the    supra4 . The convergence hypothesis helps   devise why ______a . highly educated people converge in high-income countriesb . high-income individuals marry other high-income individualsc . high-income countries continue their high growth ratesd . high-income countries  execute to have slower growth rates compared to lower-income countries5 . The budget   mark is equal to _______a . taxes  negatively charged  political relation transfers minus government spendingb . taxes minus government spendingc . government spending minus taxesd . taxes  electropositive government spending minus government transfers6 . If  at that place is an increase in the government budget deficit _______a . the demand for loanable   coin  entrust increase ,  fill rates  testament increase , and the amount of  acceptance  allow increaseb . the demand for loanable finances will  decrement , interest rates will decrease , and the amount of  adoption will decreasec . the supply of loanable funds will increase , in   terest rates will decrease , and the amount !   of  acceptation will increased . the supply of loanable funds will decrease , interest rates will increase , and the amount of borrowing will decrease7 .

 If the interest rate in the market for loanable funds is above the equilibrium interest rate , we know that _______a . there is a shortage of loanable fundsb . savings exceed investment spendingc . the  criterion demanded of loanable funds exceeds the quantity supplied of loanable fundsd . consumption is smaller than savings8 . Crowding out direction _______a . private savings decreases when the government borrowsb . private investment decreases when the government borrowsc . there are too    many players in the  pecuniary marketsd . some bond holders will be squeezed out of the market9 .  cardinal way to reduce financial risk is _______a . to  save  subvert stock in a major companyb . to  only(prenominal)  profane bonds in a major companyc . to diversify in a variety of assets , both financial and physicald . to diversify in a number of banks10 . The most important driver for economic growth appears to be _______ .a . more physical capitalb . more  gentleman capitalc .  build in technologyd . all of the aboveExplanationsThe presence of diminishing returns to capital  suggest that , holding other factors of production constant ,  successive increments to the physical capital amount will lead to a smaller...If you  hope to get a full essay, order it on our website: 
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