A change in which of the following can change the long-run growth rate of the economy in the Romer model?

Question

Quizplus · Accepted Answer

In the Romer model, long-run economic growth is primarily driven by technological innovation, which is influenced by the fraction of the population engaged in and the productiveness of research and development activities. Investments in public infrastructure, the national saving rate, and government spending and tax rates mainly affect the level of output or the growth rate in the short run but do not have a direct impact on the long-run growth rate as determined by technological progress.

A Change in Which of the Following Can Change the Long-Run