Convergence of output per capita across countries has come from:
A) a convergence of the accumulation of capital.
B) a convergence of depreciation rates.
C) higher technological progress from the countries that started behind.
D) a convergence of saving rates.
E) a convergence of population growth.

Question

Quizplus · Accepted Answer

The Solow growth model suggests that technological progress is the main driver behind long-term economic growth, and it is likely that countries that started behind have had to adopt and adapt technologies from countries that were already ahead. This has led to a convergence of output per capita across countries. Accumulation of capital (A), depreciation rates (B), saving rates (D), and population growth (E) may have some impact on output per capita, but they are not the main drivers of convergence.

Convergence of Output Per Capita Across Countries Has Come From