Suppose an Economy Experiences an Increase in Its Saving Rate

question 156

Multiple Choice

Suppose an economy experiences an increase in its saving rate.The higher saving rate leads to a higher growth rate of productivity

• A)in the short run,but not in the long run.
• B)in the long run,but not in the short run.
• C)in both the short run and the long run.
• D)in neither the short run nor the long run.

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Definitions:

Conditioned Response

A learned response to a previously neutral stimulus that has become associated with a biologically significant stimulus through conditioning.

CS-US Association

The process in classical conditioning whereby a previously neutral stimulus (CS) becomes associated with an unconditioned stimulus (US) to elicit a conditioned response.

Predictability

The extent to which future events or behaviors can be foreseen based on current knowledge or past events.

Private Thought Processes

Private thought processes refer to the internal, mental activities individuals engage in, such as reasoning, reflecting, and planning, which are not observable by others.