When an economy experiences a one-time increase in productivity,there is an increase in the long-run,steady state value of ________.
A)the growth rate of output
B)the depreciation rate
C)consumption per worker
D)the saving rate

Question

Quizplus · Accepted Answer

A one-time increase in productivity leads to an increase in the long-run, steady-state value of consumption per worker, as the economy can produce more goods and services per worker, allowing for higher consumption levels. This does not necessarily change the growth rate of output, depreciation rate, or saving rate in the long run.

When an Economy Experiences a One-Time Increase in Productivity,there Is