#1
Which of the following is a key assumption of the Solow Growth Model?
Constant returns to scale
Diminishing marginal returns
Constant savings rate
Perfect competition
#2
In the Harrod-Domar model, what does the capital-output ratio represent?
Rate of technological progress
Savings rate
Capital intensity of production
Labor force participation rate
#3
According to the neoclassical growth theory, what is the primary driver of economic growth in the long run?
Technological progress
Population growth
Savings and investment
Government intervention
#4
Which factor is considered a key limitation of the Lewis Two-Sector Model in explaining economic development?
Assumption of surplus labor in the agricultural sector
Overemphasis on industrialization
Inability to account for technological progress
Inclusion of endogenous growth factors
#5
According to the Solow Growth Model, what is the impact of an increase in the savings rate on the steady-state level of output per capita?
It increases indefinitely
It decreases indefinitely
It reaches a new, higher level
No impact on the steady state
#6
Which of the following is a key assumption in the Lewis Two-Sector Model?
Constant returns to scale
Surplus labor in the agricultural sector
Endogenous technological progress
Perfect competition
#7
Which growth model focuses on the role of structural transformation and the shift of resources from traditional to modern sectors?
Solow Growth Model
Romer Model
Lewis Two-Sector Model
Harrod-Domar Model
#8
Which economic growth model emphasizes the role of human capital and technological progress?
Solow Growth Model
Endogenous Growth Model
Harrod-Domar Model
Lewis Two-Sector Model
#9
What is the Cobb-Douglas production function commonly used to represent in economic growth models?
Constant returns to scale
Increasing marginal returns
Decreasing marginal returns
Perfect competition
#10
Which economist is associated with the concept of 'creative destruction' in the context of economic growth?
Joseph Schumpeter
John Maynard Keynes
Milton Friedman
Paul Romer
#11
What does the term 'convergence' refer to in the context of economic growth theories?
The tendency of economies to grow at similar rates over time
The divergence of income levels among countries
The focus on export-oriented growth strategies
The role of government in economic planning
#12
Which model suggests that economic growth is driven by the accumulation of knowledge and technological innovation?
Solow Growth Model
Lewis Two-Sector Model
Endogenous Growth Model
Harrod-Domar Model
#13
In the context of economic growth, what is the significance of the 'Golden Rule' savings rate in the Solow Growth Model?
It maximizes the rate of consumption
It minimizes the steady-state capital stock
It ensures constant returns to scale
It determines the level of government intervention
#14
Which of the following is a characteristic of the Romer model of endogenous growth?
Constant returns to scale
Exogenous technological progress
Endogenous technological progress
Assumption of diminishing marginal returns