Answer to Question #283739 in Macroeconomics for ABEX

Question

32. Briefly discuss how theories of expanding varieties, quality ladder, and technological transfer attempt to fill the gaps in the neoclassical growth model in addressing the three stylized facts?

Answer 1

All the theories are based on the ideas to expand the economy which relates to neoclassical growth model that focuses on economic growth. Aspects such as technology are among the aspect that rotate within economic growth aspect.