Which of the Following Is True of Economic Rules and Institutions

Multiple Choice

Which of the following is true of economic rules and institutions?

A) When the rules and institutions of a country encourage productive actions, investment will be attracted and incomes will grow.
B) When the rules and institutions of a country discourage productive actions, investment will be attracted and incomes will grow.
C) Economic analysis indicates that rules and institutions do not exert much impact on investment and the growth of income.
D) Rules and institutions influence high-income economies, but there is no evidence that they exert an impact on investment, growth, and the overall performance of low-income economies.