Suppose There Is a Decrease in the Rate of Saving

question 4

Multiple Choice

Suppose there is a decrease in the rate of saving. This decrease in the saving rate must cause a decrease in consumption per person in the long run when:

• A) the rate of saving exceeds the rate of depreciation.
• B) technological progress depends on human capital.
• C) the saving is used for education rather than physical capital.
• D) capital per worker is already less than the golden- rule level.
• E) there is no technological progress.

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Definitions:

Organisational Culture

The set of underlying beliefs, values, practices, and social behaviors that characterizes an organization and influences its members' behavior and attitudes.

Importance

A measure of significance or relevance that a particular concept, object, or action holds in comparison to others.

Ethnic Subcultures

Subgroups within a larger culture, characterized by distinct ethnic identities, heritage, traditions, and sometimes languages.

Functional Subcultures

describe groups within an organization that share specific values, beliefs, and behaviors related to their particular functions or roles, which can influence the overall culture of the organization.