In the Solow model, the steady-state capital—labor ratio will decline if
A) the saving rate per worker increases.
B) the consumption rate per worker declines.
C) population growth increases.
D) productivity increases.
C
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If Terry sets the agenda for an election, she can possibly manipulate the outcome based on the order of events to be voted on
Indicate whether the statement is true or false
Assume that goods X and Y are not Giffen goods. If the price of good X falls, a consumer will definitely
a. consume more of good X because her budget constraint has rotated outward. b. consume more of good X because her budget constraint has shifted outward. c. consume more of good Y because her budget constraint has rotated outward. d. consume more of good Y because her budget constraint has shifted outward.
During the Christmas shopping season, the demand for money increases significantly. If the Fed takes no actions to offset the increase in money demand, then nominal interest rates will:
A. remain constant. B. increase. C. decrease. D. equal the real interest rates.
From 2002-2004, the earned income tax credit ________ the poverty rate among participants.
A. slightly increased B. decreased C. had little to no effect on D. more than doubled