In a small European country, it is estimated that changing the level of capital from $8 million to $10 million will increase real GDP from $2 million to $3 million.If the number of hours worked in the labour force does not change, what does this information tell you about the slope of the per-worker production function in this range?
A) The slope is -2.
B) The slope is 1/2.
C) The slope is 2.
D) The slope is 4.
E) The slope is 8.
Correct Answer:
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Q67: According to new growth theory
A)physical capital is
Q68: Figure 7.2 Q69: According to new growth theory, Q70: Figure 7.1 Q71: Under the Soviet system of communism, Q73: Why would knowledge capital exhibit increasing returns Q74: Technological improvements are more likely to occur Q75: In a small European country, it is Q77: In a small European country, it is Q79: Knowledge capital is
A)technological change is
A)managerial pay
A)rival.
B)nonrival.
C)nonexcludable.
D)both B and C.
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