A Key Element of the Classical Growth Theory Is That

question 214

Multiple Choice

A key element of the classical growth theory is that

• A) economic growth can be sustained as long as government intervention does not occur.
• B) increases in technology drive economic growth.
• C) an increase in population leads to increase in labor supply and a decline in real wage rates.
• D) low taxes promote economic growth.
• E) market forces drive economic growth.

---

Definitions:

Business World

The environment or domain involving commerce, trade, and the creation and maintenance of profitable organizations.

Accountability

is the obligation of an individual or organization to account for their activities, accept responsibility for them, and to disclose the results in a transparent manner.

Aggression

Actions aimed at causing pain or frightening other individuals.

Deindividuation

A concept in social psychology that describes how people in groups can lose their sense of individual identity, often leading to uncharacteristic behaviors.