Multiple Choice
In the neoclassical growth model, if a nation's savings rate decreases, we should expect that
A) the long-run income per capita will increase
B) the long-run capital-labor ratio will increase
C) the growth rate of output will temporarily decrease but eventually return to its long-run trend
D) all of the above
E) none of the above
Correct Answer:
Verified
Correct Answer:
Verified
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