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In a neoclassical growth model, a decline in population growth will

A. shift the production function down
B. shift the savings function down
C. decrease the slope of the investment requirement line
D. all of the above
E. only A) and C)

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An economy with a capital-labor ratio that is lower than the steady-state level can achieve a steady-state equilibrium at this lower capital-labor ratio only if

A. the savings rate decreases
B. the rate of depreciation decreases
C. the rate of population growth decreases
D. technological advances are made
E. all of the above

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In a neoclassical growth model, if the capital-labor ratio is lower than the (optimal) steady-state level, we should expect that

A. saving is smaller than the investment requirement
B. output per capita will temporarily grow at a rate lower than population growth
C. income per capita will decrease
D. there will be a temporary increase in the capital stock that is greater than the increase in population
E. all of the above

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The convergence to a steady-state capital-labor ratio k* is ensured by the fact that if k is at a level

A. lower than k*, saving will exceed the investment required to maintain a constant k, causing k to rise
B. lower than k*, investment will exceed saving, leading to an increase in the capital stock
C. lower than k*, saving will exceed the investment required to maintain a constant k, causing output per capita to decline
D. higher than k*, the rate of depreciation will be higher than the savings rate, causing k to decrease
E. higher than k*, output per capita will continue to increase until a new steady-state equilibrium is reached

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In the neoclassical growth model, if the capital-labor ratio is below the (optimal) steady-state level, we should expect that

A. economic growth will continue to decline unless technological advances are made
B. income per capita will decrease since gross investment is not sufficient to supply new workers with adequate capital
C. the savings rate will decline due to the lack of economic growth
D. all of the above
E. none of the above

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In a neoclassical growth model, a decline in population growth will

A. shift the production function down B. shift the savings function down C. decrease the slope of the investment requirement line D. all of the above E. only A) and C)

An economy with a capital-labor ratio that is lower than the steady-state level can achieve a steady-state equilibrium at this lower capital-labor ratio only if

In a neoclassical growth model, if the capital-labor ratio is lower than the (optimal) steady-state level, we should expect that

The convergence to a steady-state capital-labor ratio k* is ensured by the fact that if k is at a level

In the neoclassical growth model, if the capital-labor ratio is below the (optimal) steady-state level, we should expect that

A. shift the production function down
B. shift the savings function down
C. decrease the slope of the investment requirement line
D. all of the above
E. only A) and C)