ECONOMICS W/CONNECT+20 >C<
20th Edition
ISBN: 9781259714993
Author: McConnell
Publisher: MCG CUSTOM
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Chapter 42, Problem 7DQ
To determine
The policies of DVCs to promote economic development.
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Question 2
Suppose that the production function is Y = 10K5L5, the population growth rate is 15 percent
and the depreciation rate is 5 percent. What is the steady state level of k if the economy saves 30
percent?
O 400
O 225
100
O 1000
Question 3
Suppose that the production function is Y 10K SL5, the population growth rate is 15 percent
and the depreciation rate is 5 percent. What is the steady state level of y if the economy saves 30
percent?
250
350
150
O 450
In 38 low-income and emerging economies with GDP per capita below $25,000 tracked by
World Bank, the induced terms of trade movements accounted for
fluctuations on
average for all those countries.
O 20 percent of GDP
O 40 percent of GDP
O 30 percent of GDP
O 10 percent of GDP
- Suppose that work hours in New Zombie
are 200 in year 1, and productivity is $8
per hour worked. What is New Zombie's
real GDP? If work hours increase to 210
in year 2 and productivity rises to $10
per hour, what is New Zombie's rate of
economic growth? LO8.4
Chapter 42 Solutions
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