Changes in the saving rate,labour-force growth rate,and depreciation rate will ________ the steady-state level of real GDP per capita and will ________ the steady-state growth rate.

Question

Quizplus · Accepted Answer

Changes in the saving rate, labor-force growth rate, and depreciation rate will affect the steady-state level of real GDP per capita but will not affect the steady-state growth rate, which is determined by technological progress in the long run.

Changes in the Saving Rate,labour-Force Growth Rate,and Depreciation Rate Will