How can a government encourage growth and, in the long run, raise the country's economic standard of living?
A) by encouraging population growth
B) by encouraging consumption
C) by encouraging saving and investment
D) by increasing government spending

Question

Quizplus · Accepted Answer

Encouraging saving and investment can lead to the growth of businesses and industries, increasing employment opportunities and overall economic activity. It also leads to the accumulation of capital which can be used to improve infrastructure and productivity, ultimately resulting in an increase in the country's economic standard of living. Encouraging population growth and consumption may provide temporary boosts to the economy, but may not be sustainable in the long run. Increasing government spending can lead to inflation and a larger national debt, which can have negative impacts on the economy.

How Can a Government Encourage Growth And, in the Long