Multiple Choice
According to the Solow model,an increase in the capital-labor ratio will
A) always reduce steady-state consumption per worker.
B) always increase steady-state consumption per worker.
C) reduce steady-state consumption per worker if the capital-labor ratio is below the Golden rule capital stock.
D) increase steady-state consumption per worker if the capital-labor ratio is below the Golden rule capital stock.
Correct Answer:

Verified
Correct Answer:
Verified
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