Multiple Choice
Which of the following statements is (are) correct? According to the Feldstein-Horioka Saving Investment Puzzle
A) countries with relatively low saving to income ratios have relatively high investment to income ratios.
B) there is no correlation between investment and saving in developed countries.
C) countries with a high ratio of saving to income have high ratios of investment to income.
D) Both a and b
Correct Answer:
Verified
Correct Answer:
Verified
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