Endogenous growth theory differs in what essential aspect from-09011
Endogenous growth theory differs in what essential aspect from the Solow theory of economic growth?
This multiple choice question (MCQ) is related to the book/course
vu eco401 Economics.
It can also be found in
vu eco401 Mid Term - Quiz No.7.
Endogenous growth theory differs in what essential aspect from the Solow theory of economic growth?
Endogenous growth theory is a monetary theory whereas the Solow theory is a real theory.
Endogenous growth theory assumes diminishing returns to capital and the Solow theory assumes constant returns.
In endogenous growth theory, economies with the same technology and saving rate need not converge to the same steady state as in the Solow model.
All of the given options are correct.
