In the Solow Growth Model, the Steady-State Growth Rate of Output

question 75

Multiple Choice

In the Solow growth model, the steady-state growth rate of output per effective worker is ______, and the steady-state growth rate of output per actual worker is ______.

• A) the sum of the rate of technological progress plus the rate of population growth; zero
• B) zero; the rate of technological progress
• C) zero; zero
• D) the rate of technological progress; the rate of population growth

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Definitions:

Increasing Wavelength

A phenomenon where the wavelength of light or other electromagnetic radiation becomes longer, moving from higher energy to lower energy on the spectrum.

Directly Proportional

A relationship between two variables where they increase or decrease in conjunction with each other at a constant ratio.

Absorption

The process by which one substance becomes taken up or incorporated into another substance, such as a gas being absorbed by a liquid.

Wavelength

The distance between consecutive crests or troughs in a wave, often used in the context of electromagnetic radiation.