Economic Growth Theory Predicts That Poor Countries Will Catch Up

question 132

Multiple Choice

Economic growth theory predicts that poor countries will catch up with rich countries because

• A)productivity has tended to grow faster in the poor countries over time than in the rich countries.
• B)the higher level of capital per worker in poor countries will attract more investment funds.
• C)the higher level of capital per worker in rich countries will attract fewer investment funds.
• D)the higher level of productivity in poor countries will attract more investment funds.
• E)the higher level of productivity in rich countries will attract more investment funds.

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