In the Harrod growth model, if the warranted growth rate exceeds the natural rate of growth, there is a tendency for ________.
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1 mark, −0.33Economics of Growth and DevelopmentHarrod–Domar and Solow growth modelsThe Harrod-Domar modelModerateabout 1 min
UoH 2020 Question 1: Harrod–Domar and Solow growth models
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Harrod–Domar and Solow growth models has come up 113 times in 7 exams since 2006.
What this question tests
This question is on The Harrod-Domar model, part of Harrod–Domar and Solow growth models in Economics of Growth and Development.
Growth driven by saving and the capital-output ratio, and why it is knife-edge.
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