In a Steady-State Economy with Population Growth N and Labour-Augmenting

question 33

Multiple Choice

In a steady-state economy with population growth n and labour-augmenting technological progress g,persistent increases in standard of living are possible because the:

• A) capital stock grows faster than does the labour force.
• B) capital stock grows faster than does the number of effective workers.
• C) capital stock grows faster than does depreciation.
• D) saving rate constantly increases.

---

Definitions:

Revenues

The total amount of money received by a company for goods sold or services provided during a specific time period.

Assets Test

A means of determining eligibility for certain government assistance programs based on the value of an individual's or entity's assets.

Reportable Segments

Components of an enterprise about which separate financial information is available and is evaluated regularly by the chief decision-maker in deciding how to allocate resources.

Assets

Economic resources owned or controlled by a business, viewed as having value and expected to provide future benefits to the operations.