Sustained economic growth in the long run would be fostered by

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Quizplus · Accepted Answer

Technological improvements embodied in physical or human capital would lead to an increase in productivity and efficiency, as well as the development of new industries and products. This, in turn, would lead to sustained economic growth in the long run. Expansionary fiscal and monetary policies could lead to short-term growth but may also result in inflation and economic instability. Elimination of an output gap and decreasing excise taxes on consumer goods may have some positive effects but are unlikely to foster sustained economic growth in the long run.

Sustained Economic Growth in the Long Run Would Be Fostered