Solved

With Respect to Long- Run Economic Growth, One Rationale for the Idea

Question 81

Multiple Choice

With respect to long- run economic growth, one rationale for the idea that there may be increasing marginal returns to investment is that


A) as further investment takes place the economy moves down to the right along the marginal product schedule.
B) as further investment takes place the economy moves upward to the left along the marginal product schedule.
C) initial investment shifts the the investment demand schedule to the left, making further investment less costly.
D) the investment costs to "followers" are lower than those for "pioneers".
E) initial investment shifts the the aggregate demand schedule to the left, making further investment less costly.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents