Explain a model of economic growth with spillover effects


1. Discuss the general idea of coordination failure.

2. Discuss can a coordination failure be set right by the free market?

3. Explain how does an investment coordination failure require a government "big push"?

4. Explain a model of economic growth with "spillover effects". Be sure to explain how the model explains per capita income growth by means of increasing returns.

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Macroeconomics: Explain a model of economic growth with spillover effects
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