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  3. Study Set
    Modern Principles of Economics
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    Exam 8: Growth, Capital Accumulation and the Economics of Ideas: Catching up Vs the Cutting Edge
  5. Question
    In the Solow Model, an Increase in the Capital Stock
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In the Solow Model, an Increase in the Capital Stock

Question 200

Question 200

Multiple Choice

In the Solow model, an increase in the capital stock with all other variables held constant will _____ the country's real GDP but at a(n) _____ rate.


A) increase; decreasing
B) decrease; decreasing
C) increase; increasing
D) decrease; increasing

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