Multiple Choice
If the rate of investment exceeds the rate recommended by the Golden Rule,
A) the economy will not reach a steady state
B) long run consumption will fall below its Golden-Rule level
C) the economy will experience sustained long run growth
D) the marginal product of capital will increase
E) the rate of depreciation will speed up
Correct Answer:
Verified
Correct Answer:
Verified
Q16: The difference between "gross" and "net" in
Q17: A steady state may be defined as<br>A)
Q18: Interest rates are most often determined by<br>A)
Q19: Technological improvements have larger effects on output<br>A)
Q20: Growth accounting for China demonstrates that<br>A) Unlike
Q22: The best long run growth strategy for
Q23: For an economy with a Cobb-Douglas production
Q24: Depreciation in the national income accounts<br>A) allows
Q25: For an economy with the production function
Q26: The Golden Rule for achieving the highest