A Key Assumption in an Endogenous Growth Model with Both

question 37

Multiple Choice

A key assumption in an endogenous growth model with both labor and capital inputs in the production function is that

• A)the share of capital is larger than the share of labor
• B)the share of capital and labor have to be equal
• C)better technology is a byproduct of more capital investment
• D)there are no external returns to capital
• E)long-run growth comes solely from technological progress

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Definitions:

Cooperation And Trust

The collaboration and reliability between individuals or organizations, fundamental for effective partnerships and teamwork.

Bullwhip Effect

The phenomenon in supply chains where orders exhibit greater variance as one moves upstream in the chain, leading to inefficiency and excess inventory.

Supply Chain

A network of organizations, people, activities, information, and resources involved in moving a product or service from supplier to consumer.

Lack Of Coordination

The absence of harmonious operation or collaboration between groups or systems, often leading to inefficiency or disorder.