Assume That Two Economies Are Identical in Every Way Except

question 97

Multiple Choice

Assume that two economies are identical in every way except that one has a higher population growth rate. According to the Solow growth model, in the steady state, the country with the higher population growth rate will have a _____ level of output per person and _____ rate of growth of output per worker compared to the country with the lower population growth rate.

• A)higher; the same
• B)higher; a higher
• C)lower; the same
• D)lower; a lower

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