In the steady state of Solow's exogenous growth model, an increase in the growth rate of labor force
A) increases output per worker and increases capital per worker.
B) increases output per worker and decreases capital per worker.
C) decreases output per worker and increases capital per worker.
D) decreases output per worker and decreases capital per worker.
D
Economics
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Total net benefits are maximized when marginal net benefits are
a. Maximized b. Minimized c. Zero d. Equal to the discount rate e. Equal to price
Economics
Suppose a pickpocket steals your $20 bill and spends all of it on pizza and beer. What happens to GDP?
A) GDP increases by twenty dollars. B) GDP decreases by twenty dollars. C) Because the positive balances out the negative, GDP remains unchanged. D) GDP decreases because somebody has clearly been made worse off.
Economics