Which Statement Is Consistent with the Predictions of the Simple

question 149

Multiple Choice

Which statement is consistent with the predictions of the simple Solow model with no technological advancement?

• A) In the long run,economic growth is zero.
• B) In the long run,a higher capital stock raises economic growth.
• C) In the long run,rich countries grow faster than poor countries.
• D) In the long run,a higher saving rate reduces economic growth.

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