-In the figure above, productivity has increased.In which growth model can this type of change lead to a permanently higher growth rate of real GDP per person?
i. Classical growth model
ii. Neoclassical growth model
iii. New growth model

Question

Quizplus · Accepted Answer

The new growth model suggests that technological progress and innovation can lead to sustained increases in productivity, resulting in a permanently higher growth rate of real GDP per person.

-In the Figure Above, Productivity Has Increased