In the Steady State,real GDP Per Worker ________,And Real GDP

question 40

Multiple Choice

In the steady state,real GDP per worker ________,and real GDP per effective worker ________.

• A) will grow; will grow
• B) will grow; is constant
• C) is constant; will grow
• D) is constant; is constant

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Definitions:

Amortization Period

The length of time it takes to pay off a loan or mortgage in full with regular payments that cover both principal and interest.

Compounded Monthly

A method of calculating interest where the interest earned each month is added to the principal, so the balance doesn't merely grow; it grows at an increasing rate.

Interest Rate

The proportion of a loan that is charged as interest to the borrower, typically expressed as an annual percentage of the loan outstanding.

Loan

Money that is borrowed, typically from a bank or financial institution, that is expected to be paid back with interest.