Suppose There Are Two Countries That Are Identical in Every

question 55

Multiple Choice

Suppose there are two countries that are identical in every way with the following exception: Country A has a higher saving rate than country B. Given this information, we know with certainty that:

• A) the growth rate will be higher in B than in A.
• B) the growth rate will be the same in the two countries.
• C) the level of consumption per worker will be higher in B.
• D) the level of consumption per worker will be higher in A.
• E) the growth rate will be higher in A than in B.

---

Definitions:

Homo Erectus

An extinct species of hominid that lived from roughly 1.9 million to about 140,000 years ago, known for being one of the first hominins to have a stature and gait similar to that of modern humans.

Ontological Security

The creation of a personal narrative that provides a coherent sense of the self. An individual’s impression that the world is stable, continuous, and predictable, which is often produced through routinized activity.

Precarity

A condition of existence without predictability or security, affecting material or psychological welfare.

Persuasive Advertising

A form of advertising designed to influence or persuade consumers to take a particular action, such as purchasing a product.