The Solow growth model features _____ returns to physical capital.
A) decreasing
B) constant
C) increasing
D) no

Name: The Solow growth model features _____ returns to physical capital. A) decreasing B) constant C) increasing D) no
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Question

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The Solow growth model assumes decreasing returns to physical capital, meaning that as more capital is added, the additional output produced from an extra unit of capital decreases.

The Solow Growth Model Features _____ Returns to Physical Capital