One of the important lessons of production functions used in modeling macroeconomic output and growth is the Leontief paradox. Discuss what is this paradox, how did this arise, and its implications on modelling economic growth.

One of the important lessons of production functions used in modeling macroeconomic output and growth is the Leontief paradox. Discuss what is this paradox, how did this arise, and its implications on modelling economic growth.

Economics (MindTap Course List)

13th Edition

ISBN:9781337617383

Author:Roger A. Arnold

Publisher:Roger A. Arnold

Chapter17: Economic Growth: Resources, Technology, Ideas And Institutions

Section: Chapter Questions

Problem 7QP

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Branch of economics that analyzes the behavior and performance of an economy as a whole. It focuses on the study of aggregates and evaluates changes related to unemployment, gross domestic product, inflation, monetary and fiscal policies of the government.

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