ECONOMICS
ECONOMIC GROWTH
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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When there is total government control
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When countries lift some government control, they experience economic growth
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When countries have no government or citizen control, then they will experience economic growth
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None of the above
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Detailed explanation-1: -The stock market is often a sentiment indicator that can impact gross domestic product (GDP) either negatively or positively. In a bull market-stock prices are rising-consumers and companies have more wealth and confidence-leading to more spending and higher GDP.
Detailed explanation-2: -Economics is the science and art of decision-making, regarding the use of scarce resources, under the conditions of scarcity, to attain maximum satisfaction. When a country or a geographical region is defined in the context of its economic activities, it is known as an economy or economic system.
Detailed explanation-3: -As an economy grows the demand for financial services increases and as a result more financial institutions, financial instruments and services appear in the market (Patrick, 1966. Financial development and economic growth in underdeveloped countries.
Detailed explanation-4: -Private property, freedom, self-interest, competition, minimum government intervention are the characteristics of a market economy.