An open economy with a low saving rate (private and public)must have

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In an open economy, a low saving rate implies that there is not enough domestic saving to fund investment. Therefore, the economy must either have low investment or borrow from abroad, leading to a trade deficit. A trade surplus would imply that the country is exporting more than it is importing, which is unlikely in a scenario of low domestic savings since it would typically need to import capital to fund any significant investments.

An Open Economy with a Low Saving Rate (Private and Public)must