solow model quiz – Graduate Paper Help

Solow Model Quiz
1. Consider a country that is in the steady state. All else the same, a permanent increase in the rate of population growth can be expected to _____ the level of output per capita and ____ the level of consumption per capita.
A. increase; increase
B. decrease; decrease
C. increase; decrease
D. decrease; increase
2. Consider a country that is in the steady state. All else the same, a permanent increase in the rate of saving can be expected to _____ the level of output per capita and ____ the level of consumption per capita.
A. increase; increase
B. decrease; decrease
C. increase; decrease
D. decrease; increase
3. Consider a country that is in the steady state. All else the same, a permanent increase in the rate of saving can be expected to _____ the growth rate of output per capita and ____ the level of output per capita in the new steady state.
A. increase; increase
B. increase; have no effect on
C. have no effect on; increase
D. decrease; increase
4. All else the same, an increase in the level of the capital stock will ____ the level of depreciation and ____ the marginal product of capital.
A. increase; increase
B. decrease; decrease
C. increase; decrease
D. decrease; increase
 
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