The Solow model suggests that economies with the same aggregate production function, ratio of workers to the total population and saving rates will ________
A) trade with one another
B) start with different initial levels of per capita income
C) possess the same rate of depreciation
D) experience convergence
D
You might also like to view...
The global financial crisis of 2007-2008 resulted in a(n) ________ of the Swiss franc. In 2011, the Swiss central bank intervened in order to cause a(n) ________ of the franc
A) appreciation; appreciation B) depreciation; depreciation C) appreciation; revaluation D) depreciation; appreciation E) appreciation; depreciation
Horizontal equity is extremely compatible with the benefit principle
a. True b. False
One inconvenience of commodity money is the need for
a. money to be divisible. b. uniform quality. c. portability. d. All of the above are correct.
Refer to the information provided in Table 24.8 below to answer the question(s) that follow.Table 24.8All Figures in Billions of DollarsOutput (Income)Net TaxesConsumption Spending (C = 100 + 0.9Yd)SavingsPlannedInvestment PurchasesGovernment Spending2,6001002,3501501502002,8001002,5301701502003,0001002,7101901502003,2001002,8902101502003,4001003,0702301502003,6001003,2502501502003,8001003,430270150200Refer to Table 24.8. The economy is at the equilibrium level of output. If government spending increases by $200 billion, the new equilibrium level of output is
A. $5,600 billion. B. $4,600 billion. C. $4,400 billion. D. $4,000 billion.