Suppose there are two countries that are identical with the following exception. The saving rate in country A is greater than the saving rate in country B. Given this information, we know that in the long run
A) output per capita will be greater in B than in A.
B) output per capita will be greater in A than in B.
C) economic growth will be higher in A than in B.
D) more information is needed to answer this question.
B
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Which of the following statements is false?
A) There is an indifference curve associated with any combination of goods selected by a consumer. B) A consumer is indifferent among all consumption bundles along a given budget line. C) Consumption bundles that lie on higher indifference curves yield higher utility. D) All consumption bundles along a given indifference curve are equally desirable.
The natural rate of unemployment:
A. is zero. B. occurs at the economy's potential level of output. C. will cause a steady rise in the price level. D. All of these statements are true.