1.In the Solow growth model with population growth of 5 per cent and a labour augmenting technological progress of 3 per cent, the economy’s: Select one: a. number of workers grow at 5 per cent while the number of effective workers grow at 2 per cent. b. number of workers grow at 3 per cent while the number of effective workers grow at 8 per cent. c. number of workers grow at 5 per cent while the number of effective workers grow at 8 per cent. d. number of workers grow at 5 per cent while the number of effective workers grow at 3 per cent. 2. Schumpeter's “creative destruction” is an explanation of economic progress resulting from: Select one: a. new product producers driving incumbent producers out of business. b. breaking down barriers to trade and development. c. using up scarce natural resources to create new products. d. creating new methods to destroy the environment.
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1.In the Solow growth model with population growth of 5 per cent and a labour augmenting technological progress of 3 per cent, the economy’s:
Select one:
a.
number of workers grow at 5 per cent while the number of effective workers grow at 2 per cent.
b.
number of workers grow at 3 per cent while the number of effective workers grow at 8 per cent.
c.
number of workers grow at 5 per cent while the number of effective workers grow at 8 per cent.
d.
number of workers grow at 5 per cent while the number of effective workers grow at 3 per cent.
2.
Schumpeter's “creative destruction” is an explanation of economic progress resulting from:
Select one:
a.
new product producers driving incumbent producers out of business.
b.
breaking down barriers to trade and development.
c.
using up scarce natural resources to create new products.
d.
creating new methods to destroy the environment.
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