Why are the governments of developed countries concerned about ...

[madam-professor]

Why are the governments of developed countries concerned about the quality of education in their countries? What effect does education play in determining the country's economic growth rate and its standard of living? Why does it have this effect?
 
  What will be an ideal response?

Question 2

In a centrally planned economy, the concept of marginal cost
 
  A) is important if planners want to achieve their objectives at the lowest possible cost.
  B) is irrelevant because resources can be obtained by government decree.
  C) is irrelevant because socialist firms do not have to earn profits.
  D) is irrelevant if industries can be subsidized.

[todom5090]

Answer to Question 1

Improving the quality of education is an important policy that the government can undertake to increase the nation's economic growth rate. A higher quality education increases the nation's human capital. Increases in human capital boost labor productivity and, in turn, the increase in labor productivity raises the nation's economic growth rate as well as its standard of living.

Answer to Question 2

A

[madam-professor]

YES! Correct, THANKS for helping me on my review

[cpetit11]

Thanks for the timely response, appreciate it