In the Long Run,an Increase in the Saving Rate in a Steady-State

question 31

Multiple Choice

In the long run,an increase in the saving rate in a steady-state economy will cause

• A)an increase in the capital-labor ratio and an increase in consumption per worker.
• B)an increase in the capital-labor ratio and a decrease in consumption per worker.
• C)a decrease in the capital-labor ratio and a decrease in consumption per worker.
• D)a decrease in the capital-labor ratio and an increase in consumption per worker.

---

Definitions:

Ethical System

A structured set of moral principles that guide individuals or groups in making decisions about right and wrong.

Redesign

The process of designing something again or differently, often to improve its functionality or aesthetics.

Recall

The action of officially ordering the return of a product due to the discovery of safety issues or product defects.

Ethical System

A coherent set of moral principles, theories, or values that guide an individual's or group's behavior.