2.if the government uses tax money to pay for long-term investments such as roads or other infrastructure what happens to the economy.? a- investment decreasesb- investment increasesc- taxes increased- taxes decrease3. what is 1 way to measure technological progress? a- any increases in capital minus increases in laborb- any increases in labor minus increases in capitalc- total growth plus increases and capital and labord- total growth minus increases in capital and labor4. what is the labor productivity? a- the total number of workers in an economyb- the amount of output produced per workerc- the total amount of work produced in an economyd- the average training per worker5. how can a trade deficit actually increase the productivity of an economy? a- by causing people to saveb- by building up a large amount owedc- by importing funds used for capital deepeningd- by importing goods for short term use6. real gdp. a- distorts the price level in the gdpb- expresses gdp in constant pricesc- measures only intermediate goodsd- is another term for gnp7. the average of all prices in the economy is thea- aggregate supplyb- aggregate demandc- price leveld- gross national product8. what is a business cycle? a- a period of increased economic growthb- a period of economic growth followed by economic contractionc- the amount of time it takes a business to produce its productsd- a dangerous time for all businesses9. the period in a business cycle when real gdp stops falling isa- expansionb- peakc- contractiond- trough 10. what is a recessiona- it. when real gdp falls for at least 6 monthsb- a long and severe depressionc- a very mild and short expansiond- a. a period of when the economy is neither expanding nor contracting