It is sometimes suggested that the government should, Business Economics

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It is sometimes suggested that the government should

1. It is sometimes suggested that the government should actively pursue an industrial policy. Explain what this means and discuss the advantages and the disadvantages of such a policy. 2. Suggest four policies to promote growth. Be precise and provide details. For each policy suggested, indicate (a) How is it related to the Solow model we learned in class. (b) Whether it will lead to sustained higher growth or just temporarily higher growth.

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