Consider a Small Country with a Capital Stock Equal to 900

question 253

Multiple Choice

Consider a small country with a capital stock equal to 900 units. This year it produced 20 units of new capital goods, with a depreciation rate of 20% and a production function of Y = K^1/2. What will its capital stock be next year?

• A) 920 units
• B) 720 units
• C) 740 units
• D) 900 units

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Definitions:

Primary Personalities

Fundamental traits or characteristics that form an individual's core personality attributes.

Fusion

The process of joining two or more entities together to form a single entity, or the blending of different elements.

Subpersonalities

Distinct, enduring aspects of a person's character, or in the context of psychology, aspects of personality that may become dissociated or semi-independent in response to stress.

Joining

The act of linking or becoming part of a group or structure.