If a Country Increases Its Saving Rate,the Steady-State Equilibrium Level

question 34

Multiple Choice

If a country increases its saving rate,the steady-state equilibrium level of ________.

• A) GDP will increase
• B) physical capital stock will decrease
• C) investment will decrease
• D) efficiency units of labor will increase

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Definitions:

Broca's Area

A region in the frontal lobe of the dominant hemisphere, usually the left, of the brain with functions linked to speech production.

Hypothalamus

A region of the brain that coordinates the autonomic nervous system and the activity of the pituitary, controlling body temperature, thirst, hunger, and other homeostatic systems.

Thalamus

A part of the brain located in the center of the cerebral hemisphere, which acts as a relay station for sensory information.

Epithalamus

A posterior segment of the diencephalon of the brain, involved in the regulation of sleep-wake cycles and the secretion of melatonin from the pineal gland.