With steady state growth:
A)the optimal output per worker grows faster than optimal capital per worker.
B)the steady state growth rate of real GDP per worker is less than the rate of technological progress.
C)the average product of capital is constant.
D)all of the above.

Question

Quizplus · Accepted Answer

In steady state growth, the optimal capital per worker and output per worker both grow at the same rate, which involves a constant average product of capital. Therefore, only option C is correct, and options A and B are both incorrect.

With Steady State Growth