Using the growth accounting equation, if the growth rate of technology is 3%, the growth of labor is 2% and the growth of capital is 1% then if α=0.75 then growth of output can be estimated to be:
A. 4.25%.
B. 4.00%.
C. 6.00%.
D. 4.75%.
A. 4.25%.
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In an economy with no government and no international trade, consumption expenditures will be less than the total value of goods and services when
A) people save some of their income. B) people barter rather than use money in making exchanges. C) saving is zero. D) investment is zero.
Producing a homogeneous product occurs in which of the following industries?
A) monopolistic competition and perfect competition B) perfect competition only C) oligopoly, monopolistic competition, and perfect competition D) oligopoly and perfect competition
Deadweight loss is
A) the amount of taxes that consumers and monopolists pay. B) the loss of output when a perfectly competitive firm becomes a monopolist. C) a loss of benefit to consumers in a monopoly that no one else in society can obtain. D) the price that consumers pay for a product in excess of the average cost of producing it.
Choose the letter of the diagram in Figure 36.2 that represents the shift in the foreign exchange market for dollars given the following situation, ceteris paribus: A sudden, unexpected surge in inflation in the United States causes reduced purchases of U.S. goods by foreigners.
A. a. B. b. C. c. D. d.