Research suggests that the relatively higher rate of growth of output per capita between in China between 1996 and 2011 was the result of which of the following?
A)an increase in the rate of technological progress
B)an increase in K / NA
C)an increase in the rate of growth of N
D)an increase in the saving rate
E) both A and D

Question

Quizplus · Accepted Answer

Research suggests that the relatively higher rate of growth of output per capita in China between 1996 and 2011 was the result of both an increase in the rate of technological progress (choice A) and an increase in the saving rate (choice D). Both factors contributed to an increase in capital per worker (K/NA), which in turn led to higher output per capita. An increase in the rate of growth of N (choice C) would result in an increase in the labor force, but it would not necessarily lead to a higher output per capita unless there is also an increase in capital per worker.

Research Suggests That the Relatively Higher Rate of Growth of Output