Question

(i) Explain what is meant by an aggregate production function?
(ii) What is technology and why does its growth contribute to improved living standards?

(iii) Why do economists claim that technology played a large role in the economic growth of the past 200 years?

(iv) Explain why technology includes different ways in which to organise a firm.
(v) What is wrong with a growth policy that focuses on capital formation rather than technology?

(vi) How do property rights affect economic growth?

Answer 1

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