Macroeconomics 6th Edition by Robert Hall,Marc Lieberman

Exercise 6

State whether each of the following statements is true or false, and explain your reasoning briefly. Assume in each case that the population remains constant.
a. "A permanent increase in employment from a lower to a higher level will cause an increase in real GDP per capita, but not continued growth in real GDP per capita."
b. "A permanent increase in the nation's capital stock to a new, higher level will cause an increase in real GDP per capita, but not continued growth in real GDP per capita."
c. "With constant average hours, EPR, and technology, as long as planned investment spending continues to be greater than depreciation, real GDP per capita can continue to grow at the same rate year after year."