In the Solow Growth Model, When the Growth Rates of Capital

question 5

Multiple Choice

In the Solow growth model, when the growth rates of capital and labor are constant,

• A) the capital labor ratio grows at a constant rate, too.
• B) output per worker grows at the rate of growth of capital and labor combined.
• C) output grows at the same rate as the capital-labor ratio.
• D) the capital-labor ratio is constant.
• E) none of the above is true.

---

Definitions:

Reputation

The general opinion or judgment about an individual's or entity's character, abilities, and potential based on past actions and achievements.

Traits

Traits are distinguishing characteristics or qualities that define an individual's personality, behavior, or physical attributes.

Market-Pricing Relationship

Economic relationships defined by the exchange of goods or services for monetary value, influenced by supply and demand dynamics.

Goods

Physical items that are produced for sale or to be used.