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Macro Chapter 11

TermDefinition
Economic growth the percentage change in real per capita GDP
Rule of 70 rule stating that if the annual growth rate of a variable is x%, the size of that variable doubles approximately every 70 ÷ x years
Resources the inputs used to produce goods and services; also called factors of production
Human capital the resource represented by the quantity, knowledge, and skills of the workers in an economy
Technology the knowledge that is available for use in production
Technological advancement the introduction of new techniques or methods so that firms can produce more valuable outputs per unit of input
Institution a significant practice, relationship, or organization in a society
Private property rights the rights of individuals to own property, to use it in production, and to own the resulting output
Created by: v.virgil
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