The Solow Model Implies That Continuous Growth in Productivity at a Rate

question 32

Multiple Choice

The Solow model implies that continuous growth in productivity at a rate of one percent will result in continuous growth of output per worker at a rate of 1.43%.Thus,if at a point in time output per worker is 270 and productivity rises by one percent,the resulting level of output per worker is ________.

• A)386
• B)273
• C)274
• D)277

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Definitions:

Nonpathological Caution

A level of prudence or vigilance that is considered normal and healthy, not indicative of a psychological disorder.

Obsessive-Compulsive-Related Disorders

A group of disorders in which obsessive-like concerns drive people to repeatedly and excessively perform specific patterns of behavior that greatly disrupt their lives.

Exposure Therapies

Psychological treatments that involve the exposure to feared stimuli or situations in order to reduce anxiety and desensitize individuals to the source of their fear.

Compulsive Behavior

Behavior patterns that are repeated to reduce anxiety or distress but are not connected in a realistic way with what they are designed to neutralize.