A Recent Article States That

question 175

Multiple Choice

A recent article states that "...gains from two centuries of rapid technological innovation are largely exhausted, and new discoveries lack the same revolutionary quality....{Further}, 80 percent of the growth between 1950 and 1993 came from the new application of old ideas, and these old ideas are now mostly wrung dry."
(The Economist, 03/03/2011)
-If this quote is TRUE, what would the neoclassical growth theory predict?

• A) Economic growth stops because most technological advances have already been made.
• B) Economic growth is temporary regardless of technological change and GDP per person returns to subsistence levels.
• C) Economic growth will persist indefinitely because technological change will accelerate again as firms seek profits.
• D) Economic growth will accelerate because these technological changes are permanent.

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Definitions:

Pressure

The force applied perpendicular to the surface of an object per unit area over which that force is distributed.

Proprioception

The sense of the relative position of body parts and strength of effort being employed in movement, essentially how we perceive the position and movement of our bodies.

Somatosensation

The body's sensory system that includes the sense of touch, temperature, body position, and pain.

Gustation

The sense of taste, one of the five traditional senses, involving the perception of different flavors.