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    Macroeconomics Policy and Practice
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    Exam 6: The Sources of Growth and the Solow Model
  5. Question
    Suppose an Economy Is in a Steady State,then Its Saving
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Suppose an Economy Is in a Steady State,then Its Saving

Question 58

Question 58

Multiple Choice

Suppose an economy is in a steady state,then its saving rate falls,once and permanently.As the economy approaches its new long-run steady state,consumption per worker is ________.


A) falling
B) rising
C) unaffected
D) either rising or falling

Correct Answer:

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