Assuming That Technological Progress Increases the Efficiency of Labour at a Constant
Assuming that technological progress increases the efficiency of labour at a constant rate is called:
A) endogenous technological progress.
B) the efficiency-wage model of economic growth.
C) labour-augmenting technological progress.
D) the Golden Rule model of economic growth.
If the labour force is growing at a 3 percent rate and the efficiency of a unit of labour is growing at a 2 percent rate,then the number of effective workers is growing at a rate of:
A) 2 percent.
B) 3 percent.
C) 5 percent.
D) 6 percent.
In a steady-state economy with a saving rate s,population growth n,and labour-augmenting technological progress g,the formula for the steady-state ratio of capital per effective worker (k*),in terms of output per effective worker (f(k*)),is (denoting the depreciation rate by ):
A) sf(k)/( + n + g).
B) s/((f(k))( + n + g)).
C) f(k)/((s)( + n + g)).
D) (s - f(k))/( + n + g).
In the Solow growth model with population growth and technological change,the break-even level of investment must cover:
A) depreciating capital.
B) depreciating capital and capital for new workers.
C) depreciating capital and capital for new effective workers.
D) depreciating capital,capital for new workers,and capital for new effective workers.