« previous next »

Author Question: What are the basic arguments of the neoclassical growth theory? What will be an ideal ... (Read 36 times)

panfilo

  • Hero Member
  • *****
  • Posts: 572
on: Jun 29, 2018
What are the basic arguments of the neoclassical growth theory?
 
  What will be an ideal response?

Question 2

The principle of diminishing marginal utility means that as you eat fewer slices of pizza, your total utility from pizza will ________ and your marginal utility from each additional slice of pizza will ________.
 
  A) increase; decrease
  B) decrease; increase
  C) increase; increase
  D) decrease; decrease


kjohnson

  • Sr. Member
  • ****
  • Posts: 330
Reply #1 on: Jun 29, 2018
Answer to Question 1

The neoclassical growth theory explains economic growth as the result of technological change. Technological change leads to a level of saving and investment that makes capital per hour of labor grow. Growth, therefore, only ends if technological change ends. However the theory looks at technological change as being the result of chance and luck and so offers no explanation for how or why technological change occurs.

Answer to Question 2

B


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question

panfilo

  • Hero Member
  • *****
  • Posts: 572
Reply #2 on: Jun 29, 2018
Correct answers!


kjohnson

  • Sr. Member
  • ****
  • Posts: 330
Reply #3 on: Jun 29, 2018
Great! Please up vote :D


« previous next »
 

Did you know?

As many as 28% of hospitalized patients requiring mechanical ventilators to help them breathe (for more than 48 hours) will develop ventilator-associated pneumonia. Current therapy involves intravenous antibiotics, but new antibiotics that can be inhaled (and more directly treat the infection) are being developed.

Did you know?

About one in five American adults and teenagers have had a genital herpes infection—and most of them don't know it. People with genital herpes have at least twice the risk of becoming infected with HIV if exposed to it than those people who do not have genital herpes.

Did you know?

Children of people with alcoholism are more inclined to drink alcohol or use hard drugs. In fact, they are 400 times more likely to use hard drugs than those who do not have a family history of alcohol addiction.

Did you know?

Oxytocin is recommended only for pregnancies that have a medical reason for inducing labor (such as eclampsia) and is not recommended for elective procedures or for making the birthing process more convenient.

Did you know?

Methicillin-resistant Staphylococcus aureus or MRSA was discovered in 1961 in the United Kingdom. It if often referred to as a superbug. MRSA infections cause more deaths in the United States every year than AIDS.

Methicilli ...
Basic features of the function of many excretory systems. Basic features of the function of many excretory systems.
World Population Growth World Population Growth
Growth Accounting for Europe, A.D. 500–1700 Growth Accounting for Europe, A.D. 500–1700
A Sociological Timeline of Major Figures in the Development of Sociological Theory, 1820–1960 A Sociological Timeline of Major Figures in the Development of Sociological Theory, 1820–1960
Primary growth in a root Primary growth in a root
Yearly growth of tree trunk (cross-section) Yearly growth of tree trunk (cross-section)
Video: Stomach peristalsis - Movement of Food Through the Small Intestine

For a complete list of videos, visit our video library