Economic growth depends more on technological change than on increases on capital per hour worked.Question 8Answera.Trueb.False

The key to sustained economic growth is increasing labor productivity.Question 34Answera.Trueb.False

The determinants of economic growth in the longer termWhich of the following statements best represents the impact of technological progress in the Solow growth model?QUESTION 5SELECT ONE:a.Technological progress allows for an increase in the saving rate.b.Technological progress is necessary to achieve the steady-state level of consumption per worker.c.There must be increases in the quality and quantity of capital for long-term growth to be achieved.d.There must be increases in the quality and quantity of consumption for long-term growth to be achieved.e.Both B and D apply.

Suppose that a country has no growth in technology and that capital and labor hours are growing at the same rate. The capital in the country continues to grow at its previous rate while technology growth is still zero, but growth in labor hours falls to half its previous rate. What happens to growth in real GDP per hour of work?Growth rate of real GDP per hour of work = %

The growth rate of technology is 2 percent per year, and the growth rate of capital per hour of work is 5 percent per year. Calculate the growth rate of real GDP per hour of work. Express your answer as a percent rounded to two decimal places. The growth rate of real GDP per hour of work is  percent.

Suppose that the capital stock grows faster than the labor force, and there is no technological growth. This would causeResponsesA an upward shift of the productivity curve.an upward shift of the productivity curve.B an upward movement along the productivity curve.an upward movement along the productivity curve.C a downward shift of the productivity curve.a downward shift of the productivity curve.D a downward movement along the productivity curve.