The Following Figure Shows the Production Function and the Relationship

question 6

Multiple Choice

The following figure shows the production function and the relationship between investment and physical capital stock for a given saving rate.

-Refer to the figure above.If the physical capital stock is fixed at $300,the GDP in this economy is ________.

• A) $4,000
• B) $5,000
• C) $6,000
• D) $7,000

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