In the Endogenous Growth Model

question 35

Multiple Choice

In the endogenous growth model

• A)the growth rate of capital is less than the growth rate of output.
• B)the growth rate of human capital is greater than the growth rate of output.
• C)the growth rate of human capital is equal to the growth rate of output.
• D)the growth rate of output is equal to the growth rate of human capital.
• E)the growth rate of output is greater than to the growth rate of human capital.

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Definitions:

Operating Assets

Assets used in the day-to-day operations of a business to generate revenue, including cash, inventory, and property, plant, and equipment.

Required Rate Of Return

The minimum percentage return an investor expects to achieve from an investment.

Operating Income

Revenue from business operations after operating expenses and before interest and taxes.

Transfer Prices

Prices charged for the sale of goods or services between departments or subdivisions of the same company.