1. In the long run, the level of output is determined by the:

A. interaction of supply and demand.

B. money supply and the levels of government spending and taxation.

C. money supply and the levels of government spending and taxation.

D. preferences of the public

2. Which of the following is not an important variable in growth accounting calculations?

1. capital growth.
2. money supply growth.
3. productivity growth.
4. labour growth

3. The per-worker production function relates.

1. output per worker to production per worker.
2. production per worker to the size of the workforce.
3. output per worker to capital per worker.
4. output per worker to factors of production per worker.

4. Which of the following would cause a decrease in consumption per worker in a steady state?

A. A permanent decrease in the amount of immigration allowed into the country.

B. A permanent increase in energy prices.

C. An increase in government expenditures on the nation's infrastructure.

D. An increase in the number of hours worked per person.