In the textbook model of endogenous growth, long-run output growth would increase if there were either a ________ in the saving rate or a ________ in the depreciation rate

A) rise; rise
B) rise; fall
C) fall; rise
D) fall; fall


B

Economics

You might also like to view...

A country has national saving of $90 billion, government expenditures of $30 billion, domestic investment of $50 billion, and net capital outflow of $40 billion. What is its demand for loanable funds?

a. $40 billion b. $60 billion c. $90 billion d. $130 billion

Economics

For a monopoly producing any output level greater than one, the marginal revenue curve:

A. lies below the demand curve. B. is minimized when total revenue is maximized. C. lies above the average revenue curve. D. is the same as the demand curve.

Economics

A prisoner's dilemma is a game in which:

A. the players' payoffs are smaller when both play their dominant strategy compared to when both play a dominated strategy. B. neither player has a dominant strategy. C. the players' payoffs are larger when both play their dominant strategy compared to when both play a dominated strategy. D. one player has a dominant strategy and the other does not.

Economics

What happens when marginal product falls in a bicycle factory?

a. The cost of producing one more bicycle rises. b. The average total cost of producing a bicycle falls. c. More bicycles per hour are deemed defective. d. The total number of bicycles produced decreases.

Economics