In endogenous growth models, technological progress comes from:
A)outside the system.
B)research and development.
C)increases in the capital stock.
D)all of the above.

Question

Quizplus · Accepted Answer

Endogenous growth models emphasize that growth is driven by elements internal to the economy. Technological progress, a key driver of growth in these models, comes from activities such as research and development within the economy rather than external to it. While increases in the capital stock can contribute to growth in these models, they are not the primary source of technological progress. Therefore, the best choice is B.

In Endogenous Growth Models, Technological Progress Comes From