Federal budget deficits became progressively smaller during the 1990s, and turned into a surplus by 1998

What is the significance of the multiplier? What causes the multiplier to be larger or smaller?

What will be an ideal response?

The idea that saving equals investment in the Solow model means that a steady state can be reached only when

A) s = k. B) s = n + d. C) sf(k) = (s + d)k. D) sf(k) = (n + d)k.