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In Classical Growth Theory, If Real GDP Per Person Is

Question 129

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In classical growth theory, if real GDP per person is above the subsistence level,


A) technological growth occurs and keeps real GDP per person above its subsistence level.
B) population grows and lowers real GDP per person to its subsistence level.
C) the pursuit of profit will cause economic growth to accelerate.
D) the economy will keep growing without limit.
E) None of the above is correct because the classical growth theory asserts that real GDP per person can never exceed the subsistence level.

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