Title: Two countries A and B have the same aggregate production function Y = A. In addition, they have the ...
Post by: thatguy67 on Dec 19, 2022
Two countries A and B have the same aggregate production function Y = A
. In addition, they have the same level of technology and same level of output. However, if country A adds one more unit of capital, it will have a larger increase in output than if country B were to do the same. What can you infer from this?
▸ Country A and country B have the same level of capital stock K.
▸ Country A has a higher level of capital stock K than country B.
▸ Country A has a lower level of capital stock K than country B.
▸ Country A and country B have the same level of total efficiency units of labor H.
. In addition, they have the same level of technology and same level of output. However, if country A adds one more unit of capital, it will have a larger increase in output than if country B were to do the same. What can you infer from this?▸ Country A and country B have the same level of capital stock K.
▸ Country A has a higher level of capital stock K than country B.
▸ Country A has a lower level of capital stock K than country B.
▸ Country A and country B have the same level of total efficiency units of labor H.
Title: Two countries A and B have the same aggregate production function Y = A. In addition, they have the ...
Post by: pipi123 on Dec 19, 2022
Content hidden