If capital grows at a rate of 5%, then this will cause output to grow at a rate of 1%.
Given,
Labor's share of output = 60%
Capital's share of output = 40%
Labor grows on a rate of = 5%
Capital grows on a rate of = 5%
Thus, output will grow at a rate of = ?
SR(t) = Δy/Δt/Y - (αΔk/Δt/k(t) + (1-α)(ΔL/Δt/L(t))
Here, α = 60%
So, labor's share = (1 - 0.6) × 5 = 2%
Capitals contribution = 0.4 × 5 = 2%
Implied rate of growth in technology is also given,
SR = (5) - (2+2)
= 1%
Hence, if capital grows at a rate of 5%, then this will cause output to grow at a rate of 1%.
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The process of planning the break schedules and the freight delivery schedules is known as an operational planning.
<h3>What is an
operational planning?</h3>
This refers to the outlining of key targets that a firm will undertake during a period of time that is usually one year.
Hence, the process of planning the break schedules and the freight delivery schedules is known as an operational planning.
Therefore, the Option A is correct.
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Answer:
The false statement is letter "C": Stratification of the population into several homogeneous sub-populations generally reduces audit efficiency.
Explanation:
Stratification is the method of grouping a population into subpopulations, with each group of units having similar characteristics. The efficiency of audits can be increased if the auditor stratifies a population by grouping it into different sub-populations since the variability of items will be reduced.
Answer: A. costs of moderate inflation are nearly zero whereas high inflation is quite costly.
Explanation:
Economists generally believe that moderate inflation is actually good for the economy as prices need to increase in a healthy manner overtime in order to drive consumption. This means that to them, the cost of moderate inflation is nearly zero.
This is a sharp contrast to high inflation which most economists generally believe to be costly as it reduces the savings of people as well as their real wages and welfare.
Answer:
B) raises the price buyers pay and lowers the price sellers receive.
Explanation:
A tax can be defined as the compulsory levy by the government on the income of an individual or company and the goods and services. It is used to generate income in a country in order to finance the expenditures of the government.
Types of tax
• Income Tax: This is the compulsory levy by the government on the income of an individual.
•Corporate Tax: This is the levy paid by corporate organzation on their Profits.
•Sales Tax: It is levied on goods and services. This type of tax increases the price of a product thereby making buyers to pay more. The sellers receives lower prices because they will deduct tax from what the sellers have paid and pay to the government.
•Property Tax: It is levied on the value of land or property.
•Tariff: Tax paid on imported goods. It is used to discourage importation. An increase in import tariff leads to an increase in price of the Commodity thereby leading to decrease in quantity purchased.
There are three basic tax laws
1) Progressive tax
2) Regressive tax
3) Proportional tax.