Question

The Solow growth model describes: A) how output is determined at a fixed point in time. B) how output is determined with fixed amounts of capital and labor. C) how saving, population growth, and technological change affect output over time. D) the static allocation, production, and distribution of the economy's output.

Answer 1

C) how saving, population growth, and technological change affect output over time

Step-by-step explanation:

• The solows growth model describes the economic model of the long-run economic growth sets within the frameworks of neoclassical economics and attempts to explain the long-run capital acculturation and labor or the population growth.

• Being a mathematical model of the linear system that consists of the single ordinary differential equation that models the equation of the per capital and has an attractive mathematical characteristic.