1.The Solow residual is (choose one or more)

A the proportion of long-term economic growth explained by growth in labor or capital

B the proportion of long-term economic growth not explained by growth in labor or capital

C assigned primarily to endogenous technological change

D assigned primarily to exogenous technological change

E responsible for roughly 50% of historical growth in the industrialized nations

2.The Solow model (choose one or both)

Aprovides no way to analyze the determinants of technological advance because it is completely independent of the decisions of economic agents

Bfails to explain large differences in residuals across countries with similar technologies

3.According to neoclassical theory, the low capital-labor ratios of developing countries offer

A exceptionally high rates of return on investment

B exceptionally low rates of return on investment

4.Yet even after the prescribed liberalization of trade and domestic markets, many developing countries (choose one or more)

A experienced little or no growth

B failed to attract new foreign investment

C failed to halt the flight of domestic capital

5.Endogenous growth theory (choose one or both)

A is also known as new growth theory

B seeks to explain economic growth with reference to factors within the production process that are studied as part of a growth model