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Which of the following policies does NOT affect the long-term growth rate of a nation?

A. investment tax credits or any other policy that reduces the cost of capital
B. an expansionary fiscal/expansionary monetary policy mix
C. increased funding for primary education
D. incentives to increase saving
E. more funding for research and development

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A key assumption in an endogenous growth model with both labor and capital inputs in the production function is that

A. the share of capital is larger than the share of labor
B. the share of capital and labor have to be equal
C. better technology is a byproduct of more capital investment
D. there are no external returns to capital
E. long-run growth comes solely from technological progress

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In a simple version of the Solow growth model with endogenous population growth, a country can escape the poverty trap by

A. lowering the savings rate and devoting more resources to consumption
B. lowering population growth
C. raising the savings rate
D. both A) and B)
E. both B) and C)

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Separating private returns to capital from social returns to capital, that is, the idea that investment in capital may have positive spillover effects as new ideas and new ways of doing things can be easily copied by others, was first advocated by

A. Robert Barro
B. Robert Lucas
C. Robert Samuelson
D. Paul Solow
E. Paul Romer

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Assume India's income level is now roughly 5% of that of the United States. Assuming there is no change in the savings rates and the levels of technology of these two countries, how many years will it take for India to reach 10% of the U.S.'s income level?

A. 10
B. 20
C. 25
D. 35
E. 50

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Which of the following policies does NOT affect the long-term growth rate of a nation?

A. investment tax credits or any other policy that reduces the cost of capital B. an expansionary fiscal/expansionary monetary policy mix C. increased funding for primary education D. incentives to increase saving E. more funding for research and development

A key assumption in an endogenous growth model with both labor and capital inputs in the production function is that

In a simple version of the Solow growth model with endogenous population growth, a country can escape the poverty trap by

Separating private returns to capital from social returns to capital, that is, the idea that investment in capital may have positive spillover effects as new ideas and new ways of doing things can be easily copied by others, was first advocated by

Assume India's income level is now roughly 5% of that of the United States. Assuming there is no change in the savings rates and the levels of technology of these two countries, how many years will it take for India to reach 10% of the U.S.'s income level?

A. investment tax credits or any other policy that reduces the cost of capital
B. an expansionary fiscal/expansionary monetary policy mix
C. increased funding for primary education
D. incentives to increase saving
E. more funding for research and development