Figure 6.2: Romer Model: Per Capita Output

question 116

Multiple Choice

Figure 6.2: Romer Model: Per Capita Output
-In the Romer model, if an economy's share of researchers decreases, there will be:

• A) an immediate decrease in output and output growth will slow.
• B) an immediate increase in output and output growth will slow.
• C) an immediate increase in output and output growth will accelerate.
• D) an immediate decrease in output and output growth will accelerate.
• E) no change in output but output growth will slow.

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Definitions:

Spain's National Decline

A period in the early modern era marked by economic troubles, military defeats, and loss of empire, often associated with the Habsburg rule's latter centuries.

Spanish Inquisition

An institution established by the Catholic Monarchs of Spain in 1478 to maintain Catholic orthodoxy within their kingdoms and used for the persecution of heretics and other religious minorities.

Dutch Revolt

The 16th-century rebellion in the Netherlands against the Spanish Empire, leading to the independence of the Dutch Republic.

Economic Reasons

The motivations or factors related to financial gains, economic stability, or the pursuit of wealth that influence decisions or policies.