1 Explain what the Industrial Revolution was and where it began 2 Explain the difference between property rights and contractual rights Why do they matter to economic growth 3 Are there other ways in which we can measure productivity besides the amount produced per hour of work 4 Assume there are two countries South Korea and the United States South Korea grows at 4 and the United States grows at 1 For the sake of simplicity, assume they both start from the same fictional income level, $10,000 What will the incomes of the United States and South Korea be in 20 years By how many multiples will each country's income grow in 20 years 5 What do the growth accounting studies conclude are the determinants of growth Which is more important, the determinants or how they are combined 6 What policies can the government of a free market economy implement to stimulate economic growth 7 List the areas where government policy can help economic growth 8 Use an example to explain why, after periods of rapid growth, a low income country that has not caught up to a high income country may feel poor 9 Would the following events usually lead to capital deepening Why or why not A weak economy in which businesses become reluctant to make long term investments in physical capital A rise in international trade A trend in which many more adults participate in continuing education courses through their employers and at colleges and universities 10 What are the advantages of backwardness for economic growth 11 Would you expect capital deepening to result in diminished returns Why or why not Would you expect improvements in technology to result in diminished returns Why or why not 12 Why does productivity growth in high income economies not slow down as it runs into diminishing returns from additional investments in physical capital and human capital Does this show one area where the theory of diminishing returns fails to apply Why or why not 13 How did the Industrial Revolution increase the economic growth rate and income levels in the United States 14 How much should a nation be concerned if its rate of economic growth is just 2 slower than other nations 15 How is GDP per capita calculated differently from labor productivity 16 How do gains in labor productivity lead to gains in GDP per capita 17 What is an aggregate production function 18 What is capital deepening 19 What do economists mean when they refer to improvements in technology 20 For a high income economy like the United States, what aggregate production function elements are most important in bringing about growth in GDP per capita What about a middle income country such as Brazil A low income country such as Niger 21 List some arguments for and against the likelihood of convergence r

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1 .Explain what the Industrial Revolution was and where it began. 2 .Explain the difference between property rights and contractual rights. Why do they matter

1.Explain what the Industrial Revolution was and where it began.

2.Explain the difference between property rights and contractual rights. Why do they matter to economic growth?

3.Are there other ways in which we can measure productivity besides the amount produced per hour of work?

4.Assume there are two countries: South Korea and the United States. South Korea grows at 4% and the United States grows at 1%. For the sake of simplicity, assume they both start from the same fictional income level, $10,000. What will the incomes of the United States and South Korea be in 20 years? By how many multiples will each country's income grow in 20 years?

5.What do the growth accounting studies conclude are the determinants of growth? Which is more important, the determinants or how they are combined?

6.What policies can the government of a free-market economy implement to stimulate economic growth?

7.List the areas where government policy can help economic growth.

8.Use an example to explain why, after periods of rapid growth, a low-income country that has not caught up to a high-income country may feel poor.

9.Would the following events usually lead to capital deepening? Why or why not?

A weak economy in which businesses become reluctant to make long-term investments in physical capital.
A rise in international trade.
A trend in which many more adults participate in continuing education courses through their employers and at colleges and universities.

10.What are the "advantages of backwardness" for economic growth?

11.Would you expect capital deepening to result in diminished returns? Why or why not? Would you expect improvements in technology to result in diminished returns? Why or why not?

12.Why does productivity growth in high-income economies not slow down as it runs into diminishing returns from additional investments in physical capital and human capital? Does this show one area where the theory of diminishing returns fails to apply? Why or why not?

13.How did the Industrial Revolution increase the economic growth rate and income levels in the United States?

14.How much should a nation be concerned if its rate of economic growth is just 2% slower than other nations?

15.How is GDP per capita calculated differently from labor productivity?

16.How do gains in labor productivity lead to gains in GDP per capita?

17.What is an aggregate production function?

18.What is capital deepening?

19.What do economists mean when they refer to improvements in technology?

20.For a high-income economy like the United States, what aggregate production function elements are most important in bringing about growth in GDP per capita? What about a middle-income country such as Brazil? A low-income country such as Niger?

21.List some arguments for and against the likelihood of convergence.r