Suppose the following situation exists for an economy: Kt+1/N < Kt/N. Given this information, we know that
A) saving per worker equals depreciation per worker in period t.
B) consumption per worker will tend to fall as the economy adjusts to this situation.
C) saving per worker is greater than depreciation per worker in period t.
D) the saving rate increased in period t.
E) none of the above
E
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If the number of unemployed workers is 19 million, the number in the working-age population is 500 million, and the unemployment rate is 4%, what is the labor force participation rate?
A) 4.75% B) 7.8% C) 95% D) 96.2%
From 1929 to 1993, the first four years of the Great Depression, U.S. output dropped by more than
a. 10 percent b. 80 percent c. 5 percent d. 50 percent e. 25 percent
In industries in which strong network effects exist, which industry structure is likely to emerge?
A) perfect competition B) monopoly C) monopolistic competition D) oligopoly
In an economy with no inflation, explain why interest rates are positive
What will be an ideal response?