Which of the following statements is FALSE?
A) endogenous growth theory relies on constant returns to scale of capital alone to generate ongoing growth
B) endogenous growth theory predicts that an increase in population growth will always lead to an increase in the overall growth rate
C) the microeconomics underlying endogenous growth theory emphasizes the existence of substantial external returns to capital
D) endogenous growth theory predicts that a high savings rate can generate a high growth rate
E) empirical evidence suggests that endogenous growth theory is not very important for explaining differences in growth among countries
Correct Answer:
Verified
Q2: Assume an endogenous growth model with labor
Q3: The assumption of constant returns to capital
Q4: Which of the following economists did NOT
Q5: A production function that assumes a diminishing
Q6: Which of the following countries annual growth
Q7: The concept of diminishing marginal returns implies
Q8: Assume an endogenous growth model with labor
Q9: Assume an endogenous growth model with labor
Q10: A production function with constant returns to
Q11: Assume an endogenous growth model with labor
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