According to Lewis's model, the dual economy grows only when __________ .
A)The modern sector increases its output share relative to the traditional sector.
B)Agricultural sector uses modern equipment.
C)Agricultural sector hires labor economically.
D)Modern manufacturing sector is labor- intensive.

Question

Quizplus · Accepted Answer

Lewis's model of economic development suggests that a dual economy grows when the modern sector (often industrial or service-oriented) increases its output share relative to the traditional sector (often agricultural). This growth is driven by the transfer of labor from the traditional sector to the more productive modern sector, leading to overall economic growth.

According to Lewis's Model, the Dual Economy Grows Only When