Growth accounting breaks the growth rate of real GDP into which of the following components?

Question

Quizplus · Accepted Answer

Growth accounting breaks down the growth rate of real GDP into three components: the growth of labor inputs (usually measured as employment or hours worked), the growth of capital inputs (measured as the stock of physical and human capital), and the growth of technological advances (measured as total factor productivity or efficiency in combining inputs). Therefore, all of the above (labor inputs, capital inputs, and technological advances) are included in growth accounting.

Growth Accounting Breaks the Growth Rate of Real GDP into Which