According to the Solow growth model,rich nations are rich because
A) they have more skilled labor.
B) they have more natural resources.
C) they have more capital.
D) they are more politically stable.
E) their workers are paid higher real wages.

Question

Quizplus · Accepted Answer

According to the Solow growth model, a nation's output is determined by its stock of capital, labor, and natural resources. Therefore, rich nations are rich because they have accumulated more capital.

According to the Solow Growth Model,rich Nations Are Rich Because