The implication of the Solow model is that for sustained growth:
A) the ratio of savings rate to depreciation rate should be constant as the economy grows over time.
B) the ratio of savings rate to depreciation rate should increase as the economy grows over time.
C) the ratio of capital stock to GDP should decreases the economy grows over time.
D) the ratio of capital stock to GDP should be constant as the economy grows over time.
D
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Producer surplus definitely exists when the
A) price exceeds marginal benefit. B) price exceeds marginal cost. C) marginal cost exceeds the price. D) marginal benefit exceeds the price. E) marginal benefit exceeds the marginal cost.
If the government sets out to make home buying easier for more people by forcing lenders to accept ____________ down payments and ______________ interest rates, the result will likely be a(n) _______________ in housing prices
A) lower; lower; increase B) higher; higher; increase C) lower; higher; decrease D) higher; lower; decrease