Initially, the economy is at point B on Figure 10-1 above. According to the Solow growth model, an increase in the output per capita without an increase in capital per worker is represented by ________ and could be the result of ________
A) the movement B to E; new technology discoveries
B) the movement B to H; improved health and education per worker
C) the movement B to C; an increase in the savings rate
D) the movement B to F; a decrease in the savings rate
B
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In the figure above, if the price is $8 a unit, is there a shortage or surplus and what is the amount of any shortage or surplus? What is the equilibrium price and quantity?
What will be an ideal response?
In 2012, the imaginary nation of Platland had a population of 10,000 and real GDP of 42,000,000 . During the year its real GDP per person grew by about 1.94%. Which of the following sets of growth rates is consistent with this growth in real GDP per person?
a. 3% population growth and 4% real GDP growth b. 3% population growth and 5% real GDP growth c. 6% population growth and 4% real GDP growth d. 6% population growth and 5% real GDP growth