In the Combined Solow-Romer Model, the Growth Rate of Total $Y _ { t } = A _ { t } K _ { t } ^ { a } L _ { y t } ^ { 1 - a }$

question 95

Multiple Choice

In the combined Solow-Romer model, the growth rate of total output, using the production function $Y _ { t } = A _ { t } K _ { t } ^ { a } L _ { y t } ^ { 1 - a }$ is given as:

• A) \(g _ { Y } = g _ { A } + a g _ { K }\)
• B) \(g _ { Y } = g _ { A }\)
• C) \(g _ { Y } = g _ { A } + a g _ { K } + ( 1 - a ) g _ { L Y }\)
• D) \(g _ { Y } = g _ { A } + g _ { K } + g _ { L Y }\)
• E) \(g _ { Y } = g _ { A } \times a g _ { K } \times ( 1 - a ) g _ { L Y }\)

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Definitions:

Poverty Rate

Is the percentage of people living below the poverty threshold, which is three times the minimum food budget established by the U.S. Department of Agriculture.

Homelessness Rate

The proportion of people within a population who lack a fixed, regular, and adequate nighttime residence.

Plight

A dangerous, difficult, or otherwise unfortunate situation.

Individual Inequity

The unequal distribution of resources, opportunities, and treatment experienced by individuals based on various personal attributes.