To improve its standard of living, a nation’s economy must
A. remain stable.
B. grow through innovation.
C. reach economic equity.
D. allow the central government to make economic decisions.
Reset Selection
I vote for B.
To determine the answer to this question, one needs to understand the concept of standard of living and how it is typically improved in an economy. Standard of living refers to the level of wealth, comfort, material goods, and necessities available to individuals within a society.
Option A suggests that a stable economy is necessary to improve a nation's standard of living. A stable economy can ensure consistent employment opportunities, a reliable income, and a stable currency value. However, stability alone may not be sufficient to drive improvements in the standard of living.
Option B suggests that innovation is the key to improving a nation's standard of living. Innovation refers to the creation and implementation of new ideas, technologies, and methods that lead to economic growth and development. Through innovation, new industries and opportunities are created, leading to increased productivity and higher wages. This can contribute to an improved standard of living by providing new and better job opportunities, higher incomes, and access to new products and services.
Option C suggests that economic equity is necessary to improve the standard of living. Economic equity refers to the fair distribution of wealth and resources within a society. This can be achieved through policies and measures aimed at reducing income inequality and addressing poverty. By ensuring that the benefits of economic growth are shared more equally among the population, economic equity can lead to improvements in the standard of living.
Option D suggests that allowing the central government to make economic decisions is necessary to improve the standard of living. This approach implies a greater level of government intervention in the economy, which can involve measures such as regulation, redistribution of wealth, and strategic planning. The effectiveness of this approach depends on various factors, including the competence of the government and the specific policies implemented.
Based on these explanations, the most appropriate answer to the question is B. To improve its standard of living, a nation's economy must grow through innovation. While stability, economic equity, and government intervention can all play important roles in improving the standard of living, it is often through innovation and the resulting economic growth that lasting improvements are achieved.