In the Endogenous Growth Models of Lucas and Romer, an Increase

question 15

Multiple Choice

In the endogenous growth models of Lucas and Romer, an increase in a worker's level of human capital

• A) increases the amount of additional human capital he or she can produce, but does not increase the amount of output she can produce.
• B) increases the amount of additional output he or she can produce, but does not increase the amount of human capital she can produce.
• C) increases both the amount of additional human capital he or she can produce and the amount of output she can produce.
• D) increases neither the amount of additional human capital he or she can produce nor the amount of output she can produce.
• E) increases both the amount of additional human capital he or she can produce and the amount of total factor productivity produced.

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