Refer to the following table when answering the following questions.
Table 4.1: Production Model's Prediction for Per Capita GDP (US = 1) (Source: Penn World Tables 9.0)
-Considering the data in Table 4.1, the explanation for the difference between the predicted and actual level of output is called ________. If you compare India's observed and predicted output, this difference is equal to ________.
A) labor's share of GDP; two-thirds
B) the Solow residual; 4.5
C) liquidity; 0.05
D) capital's share of GDP; one-third
E) total factor productivity; 0.22

Question

Refer to the following table when answering the following questions.
Table 4.1: Production Model's Prediction for Per Capita GDP (US = 1)  (Source: Penn World Tables 9.0)
-Considering the data in Table 4.1, the explanation for the difference between the predicted and actual level of output is called ________. If you compare India's observed and predicted output, this difference is equal to ________.
A) labor's share of GDP; two-thirds 
B) the Solow residual; 4.5 
C) liquidity; 0.05 
D) capital's share of GDP; one-third 
E) total factor productivity; 0.22

Quizplus · Accepted Answer

The Answer of Refer to the following table when answering the following questions.
Table 4.1: Production Model's Prediction for Per Capita GDP (US = 1)  (Source: Penn World Tables 9.0)
-Considering the data in Table 4.1, the explanation for the difference between the predicted and actual level of output is called ________. If you compare India's observed and predicted output, this difference is equal to ________.
A) labor's share of GDP; two-thirds 
B) the Solow residual; 4.5 
C) liquidity; 0.05 
D) capital's share of GDP; one-third 
E) total factor productivity; 0.22

Refer to the Following Table When Answering the Following Questions