In the Solow growth model, the steady state occurs when
A) investment = depreciation.
B) depreciation = 0.
C) the capital-labor ratio = 1.
D) saving = investment.
A
Economics
You might also like to view...
Economics is the study of
a. scarcity under conditions of democracy b. choice within a system of free speech c. financial markets d. the role of government in a market system e. choice under conditions of scarcity
Economics
When people choose to invest at home it is called ________, and when they invest abroad it is called _______.
A. investment; foreign savings B. investment; net capital outflow C. savings; net capital outflow D. savings; net direct investment
Economics