The economic growth model predicts that
A)the level of real GDP per capita in poor countries will grow faster than in rich countries.
B)the per-worker production function of poor countries will be flatter than the per-worker production function of rich countries.
C)lower-income industrial countries will forever be unable to catch up to higher-income industrial countries.
D)economic growth in rich countries can only be accomplished at the expense of slow or even negative growth in poor countries.

Question

Quizplus · Accepted Answer

The economic growth model predicts that poor countries will experience faster economic growth than rich countries because they have more room for improvement and can adopt technologies and ideas from richer countries. This leads to increasing levels of real GDP per capita in poor countries over time.

The Economic Growth Model Predicts That