Suppose Slovakia and Zimbabwe have the same populations but Slovakia has three times as much capital as Zimbabwe. Under these circumstances, the neoclassical growth model would predict that:
A) Slovakia would be richer than Zimbabwe and would grow faster.
B) Slovakia would be richer than Zimbabwe and would grow slower.
C) Zimbabwe would be poorer than Slovakia at first but would eventually become richer.
D) Slovakia would always be richer than Zimbabwe.
Correct Answer:
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