Question

In the Application, "The Effect of FDI on Rentals and Wages in Singapore," the annual growth rate in real rental rates for the 1970–1990 period using the production function and marginal products was:

Answer 1

Step-by-step explanation:

Production function: In simple words, production function refers to the functional relationship between the quantity of a good produced (output) and factors of production (inputs).

Production function: In simple words, production function refers to the functional relationship between the quantity of a good produced (output) and factors of production (inputs).

FDI: A foreign direct investment is an investment in the form of a controlling ownership in a business in one country by an entity based in another country.

• Singapore has encouraged foreign firms to establish subsidiaries within its borders, especially in the electronics industry.
• Singapore has the fourth-largest amount of FDI in the world.
• What has happened to the rental rate and the wage?
• Find in the attachment a table which shows much of this.

• The annual growth rate in rental rates for the 1970-1990 period using the production function and marginal product was -5%.