Africa: Economic Systems DT #8 Re-Performance Lesson Link

​Literacy Rate and Standard of Living

Countries with a high literacy rate usually have a high GDP per capita. Nations with low GDP frequently have lower literacy rates since the people in that country have less access to education, and children often have to work to help support the family.

How does the literacy rate of a country affect the standard of living?

​Country Literacy Rates

Multiple Choice

What is the relationship between education and training in a country and the country’s gross domestic product (GDP)?

• Countries with a high level of education and training have a higher gross domestic product.

• Gross domestic product only deals with the amount of investment in factories and machinery.

• The role of entrepreneurs is the only factor affecting gross domestic product.

• There is not relationship between education and training and gross domestic product.

Multiple Choice

The percentage of people over the age of fifteen in a country that can read and write is the _______________.

• Reading Rate

• Graduation Rate

• Literacy Rate

• Economic Growth

Multiple Choice

When literacy rate increases due to investment in human capital, what happens to the standard of living?

• Standard of living decreases.

• Standard of living increases.

• Standard of living is not affected.

• Standard of living steadily fluctuates.

​•Capital goods (or physical capital), refers to the factories, machinery, and technology used to produce goods and services.

•When countries invest in capital goods, they are providing better facilities, resources and/or materials for the people who perform the labor

​Capital Goods

​Why Invest in Capital Goods?

​•Investment in capital goods relates to a higher GDP.

•More advanced factories, machinery, and technology creates a more productive workforce, which leads to greater economic growth [higher GDP].

Multiple Choice

What term describes factories, machines, and tools used in the production of goods?

• Investments

• Durable Goods

• Capital Goods

• Gross Domestic Product

Multiple Choice

Which of the following is the MOST LIKELY outcome if a country invests in newer and more efficient tools?

• The country will produce more goods if it invests in newer and more efficient tools.

• The country will produce fewer goods if it invests in newer and more efficient tools.

• The country will not be able to produce capital goods if it invests in newer and more efficient tools.

• The country will not be able to produce durable goods if it invests in newer and more efficient tools.

Multiple Choice

The training and skills that a worker needs to produce goods or services is called _____________________.

• Capital Goods

• Literacy Rate

• Human Capital

•    Entrepreneurship

​•a person who organizes and operates a business or businesses, taking on greater than normal financial risks in order to do so

​What is an Entrepreneur?

Multiple Choice

_________________________ is a person who is willing to risk their own productive resources to produce a new or better good or service.

• Human Capital

• Entrepreneur

• Economist

• Trading Partner