In the Solow growth model without population growth and technological progress, which of the following statements is/are always true in the steady state when the saving rate increases? (i) Output per worker increases. (ii) Consumption per worker increases. (iii) Capital per worker increases. ○ a. (i), (ii), and (iii) are always true. b. O c. O d. None of the statements is always true. Only (i) and (ii) are always true. Only (i) and (iii) are always true.

ENGR.ECONOMIC ANALYSIS
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Chapter1: Making Economics Decisions
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In the Solow growth model without population growth
and technological progress, which of the following
statements is/are always true in the steady state when
the saving rate increases?
(i) Output per worker increases.
(ii) Consumption per worker increases.
(iii) Capital per worker increases.
O a. (i), (ii), and (iii) are always true.
O b.
O c.
O d.
None of the statements is always true.
Only (i) and (ii) are always true.
Only (i) and (iii) are always true.
Transcribed Image Text:In the Solow growth model without population growth and technological progress, which of the following statements is/are always true in the steady state when the saving rate increases? (i) Output per worker increases. (ii) Consumption per worker increases. (iii) Capital per worker increases. O a. (i), (ii), and (iii) are always true. O b. O c. O d. None of the statements is always true. Only (i) and (ii) are always true. Only (i) and (iii) are always true.
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