New growth theorists believe that increased economic growth is driven by:

Question

Quizplus · Accepted Answer

New growth theorists argue that technological innovation and ideas, such as research and development, are the key drivers of increased economic growth. They believe that accumulation of physical capital and savings alone are not enough to sustain long-term economic growth. Foreign investment can also contribute to growth through the transfer of technology and knowledge, but it is not the main driver according to new growth theory.

New Growth Theorists Believe That Increased Economic Growth Is Driven