If We Define and

question 93

Multiple Choice

If we define and
As the saving rates in Countries 1 and 2, respectively,
As the depreciation rates in Countries 1 and 2, respectively, and
And
As productivity in Countries 1 and 2, respectively, in the Solow model, the equation ________ predicts that ________ differences contribute the most to differences in steady-state output per worker.

• A) ; productivity
• B) ; saving rate
• C) ; productivity
• D) ; productivity
• E) ; saving rate

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Definitions:

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