Classical growth theory states that
A) growth in real GDP per person is difficult in the beginning but easier in later stages.
B) advances in technology will always ensure a permanent increase in real GDP per person.
C) growth is maximised when everyone is fully employed.
D) growth is followed by increases in the population, eventually leaving real GDP per person unchanged.
Correct Answer:
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Q46: If a nation's population grows, then,
A)growth in
Q47: Moving along the aggregate production function shows
Q48: An assumption of classical growth theory is
Q49: An important foundation of the new growth
Q50: Full employment corresponds to
A)equilibrium in the labour
Q52: Which of the following is consistent with
Q53: According to the law of diminishing returns,
Q54: Technological change
A)has no effect on employment.
B)lowers the
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