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In the Growth Model, We Assumed the Savings Rate Was sˉ;sˉ×3×uc\bar { s } ; \bar { s } \times 3 \times u c

Question 9

Multiple Choice

In the growth model, we assumed the savings rate was given by ________, which is exogenous, but from the chapter on investment, we know it is equal to ________.


A) the saving rate; the growth rate of capital
B) sˉ;sˉ×3×uc\bar { s } ; \bar { s } \times 3 \times u c
C) sˉ;gk+dˉ3uc\bar { s } ; \frac { g _ { k } + \bar { d } } { 3 u c }
D) a savings shock; mˉbˉ\bar { m } \bar { b }
E) total factor productivity; gk+dˉg _ { k } + \bar { d }

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