One Important Assumption of the Neoclassical Growth Model Is That,with

question 63

Multiple Choice

One important assumption of the Neoclassical growth model is that,with a given state of technology,

• A)increases in the use of a single factor bring increasing returns.
• B)increases in the use of a single factor result in constant returns.
• C)increases in the use of single factor bring diminishing returns.
• D)the return from successive units of a single factor increases over time.
• E)increases in GDP are possible only if all factors are increased at an equal rate.

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Definitions:

Formal Operations

The final stage of cognitive development (according to Piaget), characterized by the ability to think abstractly, logically, and systematically.

Concrete Operations

A stage in Piaget's theory of cognitive development where children gain the ability for logical thought about concrete objects and situations, typically occurring between 7 and 11 years of age.

Hypothetical Questions

Questions about situations that are not real but are posed for discussion or consideration of potential outcomes.

Scale Model

A physical representation of an object that maintains accurate relationships between all important aspects of the model and the actual object, but at a reduced size.