In the endogenous growth model presented in the text, an increase in the fraction of time accumulating human capital

Question

Quizplus · Accepted Answer

According to the endogenous growth model, an increase in the fraction of time spent accumulating human capital leads to an increase in the growth rate of human capital, which in turn leads to an increase in the growth rate of output. Therefore, the correct answer is E, which states that an increase in the fraction of time accumulating human capital increases the growth rate of both human capital and output.

In the Endogenous Growth Model Presented in the Text, an Increase