The endogenous growth models based on equipment investment and learning-by-doing assume that technology is related to:
A) the economy's total capital stock.
B) the economy's level of production.
C) other variables in the model.
D) All of the above.
E) None of the above.

Question

Quizplus · Accepted Answer

Endogenous growth models that focus on equipment investment and learning-by-doing typically assume that technology advancement is related to various factors within the economy, including the total capital stock, the level of production, and other variables within the model. These models suggest that investments in capital and improvements in productivity through learning and experience can lead to sustained economic growth by influencing the rate of technological progress.

The Endogenous Growth Models Based on Equipment Investment and Learning-By-Doing