The Solow Growth Model Describes

question 75

Multiple Choice

The Solow growth model describes:

• A)how output is determined at a fixed point in time.
• B)how output is determined with fixed amounts of capital and labour.
• C)how saving, population growth, and technological change affect output over time.
• D)the static allocation, production, and distribution of the economy's output.

---

Definitions:

Account

A record summarizing the financial transactions pertaining to a specific period or purpose, such as savings or checking in a bank.

Agency by Ratification

A situation where actions taken by a person who is not officially an agent are approved and accepted by the principal after the fact, thereby creating an agency relationship.

Affirms

To declare something to be true, confirm, or ratify, especially in a legal context.

Scope of Authority

The range or extent of power given to an individual or entity to act on behalf of another or make decisions.