In the endogenous growth model,government policy can affect

Question

Quizplus · Accepted Answer

The endogenous growth model suggests that government policy can affect the growth rate of aggregate output and consumption by investing in research and development, education, and infrastructure, which can increase productivity and innovation in the economy. This can lead to sustained economic growth in the long run. While government policies can also affect the budgetary deficit, exports, interest rates, and leisure, these factors are not directly related to the endogenous growth model.

In the Endogenous Growth Model,government Policy Can Affect