On the Basis of Theory and Empirical Evidence,economists Have Reached

question 122

Multiple Choice

On the basis of theory and empirical evidence,economists have reached several conclusions about economic growth.Which of the following is not one of these conclusions?

• A)A relatively simple way to increase growth rates permanently is to increase a country's saving rate.
• B)Growth is generally inhibited rather than promoted by policies like protective tariffs.
• C)Well-established property rights that are enforced by fair and efficient courts are important to economic growth.
• D)Countries with few domestic natural resources still have opportunities for economic growth.

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Definitions:

Interest Expense

The cost incurred by an entity for borrowed funds, typically reported as a line item in the income statement.

Payout Ratio

The proportion of earnings paid out as dividends to shareholders, typically expressed as a percentage.

Dividend Payout Ratio

A financial measurement that calculates the percentage of net income distributed to shareholders in the form of dividends.

Retention Ratio

A financial metric indicating the percentage of a company's income retained and reinvested after dividends are paid to shareholders.