The capital stock growth has been estimated as 2%. In the second period, those average growth rates are for GDP -2%, for employment -1%, and for capital stock -3%. How can you explain the capital stock and employment negative growth rates in the second period? Also, explain and comment on the difference of TFP contributions to GDP growth in the first and second periods.

The capital stock growth has been estimated as 2%. In the second period, those average growth rates are for GDP -2%, for employment -1%, and for capital stock -3%. How can you explain the capital stock and employment negative growth rates in the second period? Also, explain and comment on the difference of TFP contributions to GDP growth in the first and second periods.

Survey Of Economics

10th Edition

ISBN:9781337111522

Author:Tucker, Irvin B.

Publisher:Tucker, Irvin B.

Chapter11: Gross Domestic Product

Section: Chapter Questions

Problem 8SQP

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