The correct ve rsion of the growth accounting fo rmula for the United States is

Question

Quizplus · Accepted Answer

The correct version of the growth accounting formula, often used to describe how different factors contribute to economic growth, is "DY/Y = DA/A + 0.7DN/N + 0.3DK/K." This formula indicates that the growth rate of output (Y) is the sum of the growth rate of total factor productivity (A), weighted growth rate of labor (N), and weighted growth rate of capital (K), with labor typically having a higher weight (0.7) than capital (0.3).

The Correct Ve Rsion of the Growth Accounting Fo Rmula