Assume That an Economy Described by the Solow Model Is

question 50

Multiple Choice

Assume that an economy described by the Solow model is in a steady state with output and capital growing at 3 percent and labour growing at 1 percent. The capital share is 0.3. The growth-accounting equation indicates that the contributions to growth of capital, labour, and total factor productivity are:

• A)0 percent, 1 percent, and 2 percent, respectively.
• B)0.3 percent, 0.7 percent, and 2 percent, respectively.
• C)0.9 percent, 0.7 percent, and 1.4 percent, respectively.
• D)1.8 percent, 0.3 percent, and 0.9 percent, respectively.

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Definitions:

Food Webs

Complex diagrams that show the feeding relationships among species within a community, highlighting who eats whom and the transfer of energy through the ecosystem.

Keystone Species

A species that plays a critical role in maintaining the structure of an ecological community, affecting many other organisms in the ecosystem and helping to determine the types and numbers of various other species in the community.

Ecological Niche

The specific role or function of an organism or species in an ecosystem, including its use of resources and relationships with other organisms.

Biological Community

A group of interacting species living together in the same habitat, forming a complex network of relationships.