-(Figure: The Solow Model)If the production function shifts from Y₁ to Y₂ in the accompanying graph of the Solow model,then: A) no growth will occur. B) growth will occur from capital accumulation only. C) growth will occur from better ideas only. D) growth from both capital accumulation and better ideas will occur.

Question

Quizplus · Accepted Answer

Growth will occur from both capital accumulation and better ideas.

-(Figure: the Solow Model)If the Production Function Shifts from Y1

-(Figure: the Solow Model)If the Production Function Shifts from Y₁