In the Solow model, if k = 8, y = 20, and s = 0.2, what is c?
A) 24
B) 20
C) 16
D) 12
C
You might also like to view...
When a country has a negative current account, that country is
A) borrowing from the rest of the world. B) lending to the rest of the world. C) running a government budget surplus. D) None of the above is correct.
If a natural disaster were to cause a negative long-run supply shock to the economy, once the economy adjusts, the new equilibrium will be at a:
A. higher price level and lower level of output. B. lower price level and lower level of output. C. higher price level and higher level of output. D. lower price level and higher level of output.
Which of the following might cause a depreciation of the U.S. dollar versus the Japanese yen?
A. A recession in the United States. B. A recession in Japan. C. A greater demand for U.S. coal by Japan. D. More Japanese visitors to Hawaii.
An example of a good that is nonrival in consumption is:
A. a campsite at Yellowstone National Park. B. a ticket to an Omnimax movie at the Smithsonian. C. the Lincoln Memorial in Washington, D.C. D. All of these are nonrival in consumption.