order to increase economic development and productivity, which of the following might a country do?
(1 point
• increase capital goods
O lower tariffs
• restrict literacy and education
O encourage trade barriers
In order to increase economic development and productivity, a country might do the following:
- Increase capital goods: This refers to investing in machinery, equipment, and infrastructure that can enhance productivity and efficiency in the production process. By having better tools and technology, businesses can produce more output with less effort and resources.
- Lower tariffs: Tariffs are taxes or fees imposed on imported goods. By lowering tariffs, a country can encourage international trade and increase competition, which can lead to lower prices for consumers and provide businesses with access to a larger market to sell their products.
- Encourage literacy and education: By investing in education and ensuring a literate population, a country can enhance human capital, increase productivity, and attract higher-skilled jobs and industries. Education provides individuals with the skills and knowledge necessary to participate in a modern economy and can lead to innovation and economic growth.
- Encourage trade barriers: This option is incorrect. Encouraging trade barriers, such as tariffs, quotas, or restrictions on imports, can hinder economic development and productivity. Trade barriers can limit access to foreign markets, reduce competition, and increase prices for consumers, which can lead to inefficiencies and reduced economic growth.
In order to increase economic development and productivity, a country might do the following:
1. Increase capital goods: By investing in and expanding the availability of capital goods such as machinery, infrastructure, and technology, a country can enhance its production capacity and efficiency, leading to higher levels of economic development and productivity.
2. Lower tariffs: By reducing trade barriers and lowering tariffs, a country can promote international trade and attract foreign investment. This can foster economic growth by expanding markets, increasing competition, and encouraging the exchange of goods and services between countries.
3. Encourage literacy and education: By prioritizing and investing in literacy and education programs, a country can develop a skilled workforce, which is essential for innovation, technological advancements, and overall economic development. Literacy and education also contribute to a more productive and knowledgeable population.
Therefore, out of the given options, increasing capital goods, lowering tariffs, and encouraging literacy and education are the measures that a country might undertake to boost economic development and productivity. Restricting literacy and education or encouraging trade barriers would have negative impacts on economic growth and productivity.
To increase economic development and productivity, a country should focus on implementing policies that promote investment in capital goods and remove barriers to international trade. Let's explore the options given:
1. Increase capital goods: This option involves investing in machinery, technology, infrastructure, and other physical assets that can enhance productivity and efficiency in production. By increasing capital goods, a country can boost the output and overall economic growth.
2. Lower tariffs: Tariffs are taxes imposed on imported goods and services. Lowering tariffs promotes international trade by reducing barriers to entry for foreign products. This can lead to increased competition, access to a wider variety of goods, and potential gains in productivity and economic growth.
3. Restrict literacy and education: Restricting literacy and education would have adverse effects on economic development and productivity. Education plays a crucial role in developing human capital, promoting innovation, and enhancing the skills of the workforce. By restricting education, a country would limit its potential for economic growth.
4. Encourage trade barriers: Trade barriers such as tariffs, quotas, and import restrictions hinder the free flow of goods and services across borders. They can lead to decreased competition, higher prices, and limited access to foreign markets. Encouraging trade barriers can negatively impact economic development and productivity by impeding international trade.
In conclusion, the country should focus on increasing capital goods and lowering tariffs to promote economic development and productivity, while avoiding restrictions on literacy and education as well as encouraging trade barriers.