Final answer:
Acquisition of land was indeed a central component of early U.S. Indian policy. The claim that modernization theory establishes a clear causal link between economic growth and democracy is false.
Step-by-step explanation:
When examining early U.S. Indian policy, it is true that the acquisition of land was a major motivating factor. The historical context demonstrates that a key element of this policy was the expansion of U.S. territory, which often came at the expense of Native American lands. This was evident through various treaties and acts, such as the Indian Removal Act of 1830, that aimed to relocate Native Americans and acquire their lands for European-American settlers and for the expansion of the United States.
Regarding the relationship between economic growth and democratic institutions, it is false to claim that modernization theory has clearly established a causal link. While some aspects of modernization theory suggest that economic development can lead to democracy, this is a subject of considerable debate among scholars, and a definitive causal relationship has not been universally accepted or established.
Lastly, in the context of comparative advantage in Chapter 19, it is false to state that only a single factor leads to different levels of productivity between two economies. Comparative advantage can arise from a variety of sources, including natural resources, labor skills, technology, and other factors that contribute to the production efficiency of an economy.