Institutions that support economic growth are the ones that:

Question

Quizplus · Accepted Answer

Institutions that provide incentives for entrepreneurs to take risks and innovate are more likely to lead to economic growth. This can be done through policies such as tax incentives or access to funding and resources for start-ups. Encouraging consumption and discouraging savings (A) can lead to short-term economic growth but can also cause problems in the long run, such as inflation and debt. Giving the government more control over production (B) and requiring companies to act in the social interest (C) can lead to inefficiencies and stifle innovation, which can ultimately hurt economic growth.

Institutions That Support Economic Growth Are the Ones That