In the Romer Model,what Two Key Goods Are Produced

question 28

Multiple Choice

In the Romer model,what two key goods are produced?

• A)a government good and new ideas
• B)a consumption good and new ideas
• C)a consumption good and total factor productivity
• D)a consumption good and capital
• E)none of the above

---

Definitions:

Equilibrium Price

The price level at which the amount of products available for sale matches the amount consumers want to buy.

Equilibrium Quantity

The quantity of goods or services supplied that is exactly equal to the quantity demanded at the market equilibrium price.

Supply Increases

A situation where the quantity of a good or service that producers are willing to sell at a certain price rises.

Price of Wheat

The cost at which wheat is sold in the market, which can vary based on factors like quality, demand, and supply conditions.