Solved

Suppose Two Countries Are Identical in Every Way with the Following

Question 39

Multiple Choice

Suppose two countries are identical in every way with the following exception: Economy A has a higher saving rate than economy B. Given this information, we know with certainty that:


A) steady state growth of output per worker is higher in A than in B.
B) steady state consumption in A and B are the same.
C) steady state consumption in A is higher than in B.
D) steady state consumption in A is lower than in B.
E) None of the above.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions