Suppose Mexico Increases Its Saving Rate

question 116

Multiple Choice

Suppose Mexico increases its saving rate. Which of the following will happen in the long run?

• A)The growth rates of productivity and real GDP per person will increase.
• B)Productivity and real GDP per person will increase.
• C)The growth rate of productivity will increase, and real GDP per person will increase.
• D)Productivity will increase, and the growth rate of real GDP per person will increase.

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Definitions:

Autonomy Status

The level of independence and self-determination a person has, often related to the ability to make personal decisions without external influence.

Racism

The systematic subordination of members of targeted racial groups who have relatively little social power by members of the agent racial group who have relatively more social power.

Categorical Thinking

The cognitive process of organizing and classifying information into categories for easier understanding and communication.

Perception of Threat

The individual or collective interpretation of an event, situation, or entity as posing a potential danger or harm.