Factors of Economic Growth 39a

Based on the information in the chart, which country would MOST LIKELY have the most stable government?

• Country A

• Country B

• Country C

• Country D

The Kenyan government has begun a new policy of giving away scholarships to students looking to pursue engineering degrees.

What type of investment is described?

• entrepreneurship

• capital goods

• human capital

• Specilization

How can maintaining a high literacy rate positively affect a nation’s standard of living?

• Literate people are better able to secure skilled jobs.

• Literacy helps to grow a company’s infrastructure.

• Literate people do not commit crimes against others.

• Literacy prevents political division among voters.

Which population has the LOWEST human capital?

• Egypt

• Sudan

• Nigeria

• South Africa

Which population has the Highest human capital?

• South Africa

• Nigeria

• Sudan

• Egypt

Which of the following is the MOST reasonable to conclude about Nigeria’s GDP per capita?

• $2,177.99

• $4,233.42

• $6,100.23

• $8,461.54

What is one way a government can invest in human capital?

• by creating tax breaks for industrial equipment

• by providing no-interest loans for higher education

• by creating a low corporate tax rate

• by providing unemployment insurance

What do countries with strong, well-funded education systems generally have? Analyze the image for a tip.

• lower populations than other countries

• more entrepreneurs than other countries

• higher unemployment than other countries

• fewer trading partners than other countries

Answer explanation

Click on the image for a hint.

What key factor affects a nation’s economic growth the MOST?

• the goods in which its trading partners specializes

• the amount of choices available to its consumers

• the education and skill level of its workforce

• the length of time its leader has been in office

How does investment in human capital generally lead to economic growth?

• by enabling governments to collect higher taxes from citizens

• by enabling consumers to have greater access to foreign-made goods

• by enabling businesses to charge higher prices for goods they produce

• by enabling workers to be more productive and earn more money