If a Country's Saving Rate Increases, What Happens in the Long

question 94

Multiple Choice

If a country's saving rate increases, what happens in the long run?

• A) Productivity does not change.
• B) Real GDP per person decreases.
• C) Real GDP per person does not change.
• D) Productivity increases.

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Definitions:

Confidential Information

Sensitive or proprietary data that is shared under the agreement of secrecy and is protected from unauthorized disclosure.

Insider Trading

The unethical and often illegal practice of trading on the stock exchange to one's own advantage through having access to confidential information.

Tender Offer

A public proposal by an individual or entity to buy shares of a corporation from its shareholders at a specified price for a certain period of time.

Market Price of the Shares

The current price at which a share of stock is bought or sold on the market.