If investment in new machinery doubles the productivity of every worker, what will be the MPP of the fifth worker in Figure 5.1? If the world's population is growing by 1 percent a year, (a) how...

If investment in new machinery doubles the productivity of every worker, what will be the MPP of the fifth worker in Figure 5.1? If the world's population is growing by 1 percent a year, (a) how fast does production have to increase to keep living standards from falling? (b) Will living standards rise, fall, or stay the same if the workforce and productivity (MPP) also increase by 1 percent each year?

May 18, 2022
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