Question

What steps can a nation take to achieve economic growth?

a) Invest in physical capital
b) Engage in international trade
c) Focus on increasing imports
d) Invest in human capital
e) Reduce the defense budget

Answer 1

To achieve economic growth, a nation can invest in physical and human capital, engage in international trade, incentivize research and development, and operate within a market-oriented economy with supportive government policies.

Step-by-step explanation:

Steps for Achieving Economic Growth

To achieve economic growth, a nation can undertake several measures. Key steps include:

1. 
   
3. 
   
5. 
   

Furthermore, creating incentives for research and development (R&D) through fiscal policy can lead to technological advancements, further driving economic growth. Operating in a market-oriented economy with supportive government policies is essential for creating a healthy climate for growth in GDP per capita and labor productivity.