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I. What is an aggregate production function? II. Suppose that the economy of Nelsonia has a current GDP per capita of $40,000. What will be
I. What is an aggregate production function? II. Suppose that the economy of Nelsonia has a current GDP per capita of $40,000. What will be GDP per capita if the economy grows at the following rates? (show your work) A. 2% a year for 20 years? B. 4% a year for 20 years? C. 2% a year for 40 years? D. 4% a year for 40 years? III. If the average worker in Nelsouia is initially three times as productive as the average worker in Nosleoia, and if productivity grows at a 2% rate in Nelsonia and a 5% rate in Noslenia, which country will have the most productive workers aer the following periods? (show your work} A. 20 years? B. 30 years? C. 40 years? IV. List the government policies that can help promote economic growth. V. Write a paragraph, using complete sentences, describing A. the components of economic growth. B. the determinants of the productivity of a country's labor force
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