Question 5 Match each factor of production to what would increase the level of that factor of production. Physical capital [Choose] Human capital Education and training Technical knowledge [Choose] Choose The federal reserve High interest rates Education and training Stimulus Research and innovation Investment Question 6 What distinguishes good institutions from bad ones? Whether or not self interest is aligned with social interest. Whether or not there are enough resources. Whether or not property can be inherited. Whether or not government bribes are effective. Question 7 Which of the following is an example of a free rider problem? Students choosing not to study because they know grades will be curved. Farmers donating some of the excess crops to less fortunate farmers. A spouse staying at home to raise children instead of working A friend giving you a ride to the airport for free.