Author Question: Which of the following directly creates growth in labor productivity? I. Growth in capital per ... (Read 95 times)

Haya94 · **on:** Jun 29, 2018

Which of the following directly creates growth in labor productivity?

I. Growth in capital per hour of labor
II. Technological change
III. Population growth
A) I only
B) II only
C) I and II
D) I and III

Question 2

According to the Ricardo-Barro effect, government deficits

A) lead to a rise in the equilibrium real interest rate, crowding out investment.
B) lead to simultaneous increases in private saving and no effect on the equilibrium real interest rate and investment.
C) lead to simultaneous decreases in private saving and decreases in the equilibrium real interest rate and investment.
D) lead to a fall in the equilibrium real interest rate and a rise in investment.