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One Reason Why Low-Income Countries Lack Physical Capital Is

Question 79

Multiple Choice

One reason why low-income countries lack physical capital is


A) due to the lack of financial institutions where savers can deposit funds and earn interest on their funds.
B) that poor countries have a hard time generating much domestic savings, since living standards are so low.
C) because the bulk of savings is invested in military equipment to fight political unrest.
D) because of the high rate of corruption in government.

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