In the Neoclassical Model,an Increase in the Savings Rate

question 31

Multiple Choice

In the neoclassical model,an increase in the savings rate

• A)causes a more than proportionate increase in the capital to labor ratio.
• B)results in a less than proportionate increase in the capital to labor ratio.
• C)results in a proportionate increase in the growth rate of output.
• D)None of the above

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Definitions:

Scatterplot

A graph in which the values of two variables are plotted along two axes, allowing for the visualization of relationships or patterns between them.

Graphical Tool

Visual instruments like charts, graphs, and plots used for analysis and data presentation.

Variables

Elements or features that can vary among individuals or over time and are measured or controlled in scientific research.

IUPAC

The International Union of Pure and Applied Chemistry, an organization that sets standards for chemical nomenclature, terminology, and measurements.