Exam 20: Long-Run Economic Growth: Origins of the Wealth of Nations

According to growth accounting estimates,during the 1929-1982 period,increases in capital and labor account for about ______ of total growth.

Free

(Multiple Choice)

4.8/5

(79)

Question 1

Correct Answer:

Verified

Would you get the same answer in a model of endogenous growth? Would you expect convergence to occur? Explain.

Free

(Essay)

4.7/5

(73)

Question 2

Correct Answer:

Verified

In a model of endogenous growth,changes in exogenous factors such as depreciation can affect growth in both the short-run and the long-run because there is no steady state.Thus,country A would permanently grow slower than country B because of a higher rate of depreciation and there is no convergence between the two countries.

According to the neoclassical growth model,if a country makes a policy change to increase its savings rate,in the new steady state:

Free

(Multiple Choice)

4.8/5

(88)

Question 3

Correct Answer:

Verified

A constant returns to scale production function means that if all inputs are halved then output will

(Multiple Choice)

4.8/5

(103)

Question 4

In the neoclassical growth model without technological progress,in the steady-state the level of capital increases at

(Multiple Choice)

4.8/5

(82)

Question 5

In the neoclassical growth model,break-even investment must cover

(Multiple Choice)

4.9/5

(92)

Question 6

According to Edward Denison,during the 1929 and 1982 period,capital formation

(Multiple Choice)

4.8/5

(92)

Question 7

International data suggests that countries with different steady states will

(Multiple Choice)

4.7/5

(79)

Question 8

According to Edward Denison,during the 1929-1982 period,real output grew at an annual rate of

(Multiple Choice)

4.8/5

(94)

Question 9

Which of the following statements is (are)correct? According to United States data,

(Multiple Choice)

4.8/5

(86)

Question 10

Data on convergence suggests:

(Multiple Choice)

4.7/5

(93)

Question 11

In the neoclassical model,explain the difference between a transition period and a steady state.What are the primary sources of growth in the transition period,and how does it differ from the steady state?

(Essay)

4.8/5

(76)

Question 12

Economies of scale refer to

(Multiple Choice)

4.7/5

(75)

Question 13

The fact that long-run growth in the U.S.has been relatively stable is consistent with the ______ model.

(Multiple Choice)

4.8/5

(79)

Question 14

Explain the term "constant returns to scale." Define the term "diminishing marginal returns".Can a production function exhibit both of these properties?

(Essay)

5.0/5

(80)

Question 15

Consider two countries that are exactly the same except that one country A has a higher savings rate than country B.Which country will grow faster in the long-run? Which country will be richer in the long-run? Use a graph of the aggregate production function to illustrate your answer.

(Essay)

4.9/5

(69)

Question 16

Steady-state growth refers to

(Multiple Choice)

4.7/5

(86)

Question 17

According to Edward Denison,what were the main sources of U.S.growth between 1929 and 1982? Which were the most important?

(Essay)

4.8/5

(77)

Question 18

According to Edward Denison's estimates,the largest proportion of economic growth during the 1929-82 period was

(Multiple Choice)

4.9/5

(75)

Question 19

In the neoclassical growth model,convergence is conditional upon two countries having

(Multiple Choice)

4.9/5

(83)

Question 20

Showing 1 - 20 of 51

According to growth accounting estimates,during the 1929-1982 period,increases in capital and labor account for about ______ of total growth.

Would you get the same answer in a model of endogenous growth? Would you expect convergence to occur? Explain.

According to the neoclassical growth model,if a country makes a policy change to increase its savings rate,in the new steady state:

A constant returns to scale production function means that if all inputs are halved then output will

In the neoclassical growth model without technological progress,in the steady-state the level of capital increases at

In the neoclassical growth model,break-even investment must cover

According to Edward Denison,during the 1929 and 1982 period,capital formation

International data suggests that countries with different steady states will

According to Edward Denison,during the 1929-1982 period,real output grew at an annual rate of

Which of the following statements is (are)correct? According to United States data,

Data on convergence suggests:

In the neoclassical model,explain the difference between a transition period and a steady state.What are the primary sources of growth in the transition period,and how does it differ from the steady state?

Economies of scale refer to

The fact that long-run growth in the U.S.has been relatively stable is consistent with the ______ model.

Explain the term "constant returns to scale." Define the term "diminishing marginal returns".Can a production function exhibit both of these properties?

Consider two countries that are exactly the same except that one country A has a higher savings rate than country B.Which country will grow faster in the long-run? Which country will be richer in the long-run? Use a graph of the aggregate production function to illustrate your answer.

Steady-state growth refers to

According to Edward Denison,what were the main sources of U.S.growth between 1929 and 1982? Which were the most important?

According to Edward Denison's estimates,the largest proportion of economic growth during the 1929-82 period was

In the neoclassical growth model,convergence is conditional upon two countries having

Introduction

Measurement of Macroeconomic Variables

Classical Macroeconomics I: Output and Employment

Classical Macroeconomics II: Money,prices,and Interest

Keynesian System I: the Role of Aggregate Demand

Keynesian System II: Money,interest,and Income

Keynesian System III: Policy Effects in the Is-Lm Model

Keynesian System Iv: Aggregate Supply and Demand

The Monetarist Counterrevolution

Output,inflation,and Unemployment: Alternative Views

New Classical Economics

Real Business Cycles and New Keynesian Economics

Macroeconomic Models:a Summary

Exchange Rates and the International Monetary System

Monetary and Fiscal Policy in the Open Economy

Money,the Banking System,and Interest Rates

Optimal Monetary Policy

Fiscal Policy

Policies for Intermediate-Run Growth

Filters