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Assume Two Economies Are Identical in Every Way Except That

Question 98

Multiple Choice

Assume two economies are identical in every way except that one has a higher population growth rate. According to the Solow growth model, in the steady state the country with the higher population growth rate will have a ______ level of output per person and ______ rate of growth of output per worker as/than the country with the lower population growth rate.


A) higher; the same
B) higher; a higher
C) lower; the same
D) lower; a lower

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