Suppose That Growth in Output That Can Be Attributed to Growth

question 185

Multiple Choice

Suppose that growth in output that can be attributed to growth in labor and capital is 2%. If output grows at a rate of 5%, it must be the case that

• A) growth in labor exceeds growth in capital.
• B) growth in capital exceeds growth in labor.
• C) the economy is experiencing technological progress.
• D) the economy is not spending enough on acquiring human capital.

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Definitions:

Arctic Fish

Fish species that have adapted to live in the cold water conditions of the Arctic region, possessing unique adaptations like antifreeze proteins.

Emergent Property

A complex trait or characteristic that arises from the interaction of simpler elements or systems and cannot be predicted from the properties of the individual elements.

Experimental Group

A group of subjects in an experiment who are exposed to the variable under investigation to study its effect.

Independent Variable

The variable in an experiment that is manipulated or changed by the researcher to determine its effect on the dependent variable.