Author Question: As uncertainty about the effects of policy on output decreases, we would expect that A) policy ... (Read 167 times)

tingc95 · **on:** Jun 30, 2018

As uncertainty about the effects of policy on output decreases, we would expect that

A) policy makers would be more frequently implement fine tuning policies.
B) policy makers would implement more active policies.
C) policy makers would implement less active policies.
D) both A and B
E) both A and C

Question 2

Assume that an economy experiences both positive population growth and technological progress. Once the economy has achieved balanced growth, we know that the output per effective worker ratio (Y/NA) is

A) growing at a rate of 0.
B) growing at a rate of gA + gN.
C) growing at a rate of gN.
D) growing at a rate of gA.
E) none of the above