The New Growth Theory Holds That Growth Can Persist Indefinitely

question 47

Multiple Choice

The new growth theory holds that growth can persist indefinitely based on the major assumption that

• A)discoveries result from regulations.
• B)knowledge capital does not experience diminishing returns.
• C)knowledge is a public capital good.
• D)discoveries bring profit.
• E)knowledge destroys profit.

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Definitions:

GABA

Gamma-aminobutyric acid, an inhibitory neurotransmitter in the brain that helps regulate neuronal activity and reduces anxiety.

Acetylcholinesterase

An enzyme that breaks down acetylcholine, a neurotransmitter involved in muscle action and memory.

Seconal

A brand name for secobarbital, a barbiturate used as a sedative and hypnotic medication.

Drug Tolerance

A state where an individual's reaction to a drug decreases with its continued use, leading to the need for higher doses to achieve the same effect.