In Solow's Exogenous Growth Model,the Principal Obstacle to Continuous Growth

question 47

Multiple Choice

In Solow's exogenous growth model,the principal obstacle to continuous growth in output per capita is due to

• A) the declining marginal product of labour.
• B) the declining marginal product of capital.
• C) limits in the ability of government policy makers.
• D) too little savings.
• E) not enough consumption per worker.

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Definitions:

Active Transport

The movement of molecules across a cell membrane from a region of lower concentration to one of higher concentration, requiring energy.

Cell Membrane

The structure that surrounds and encloses a cell.

Lipids

A group of naturally occurring molecules that include fats, waxes, sterols, fat-soluble vitamins (such as vitamins A, D, E, and K), monoglycerides, diglycerides, triglycerides, phospholipids, and others.

Carbohydrates

Organic compounds occurring in foods and living tissues, including sugars, starch, and cellulose, which provide energy or contribute to structure.