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A Small Improvement in a Country's Growth Rate Is a Benefit

Question 12

Multiple Choice

A small improvement in a country's growth rate is a benefit to policy makers because


A) a small change can have large effects on per capita GDP over time.
B) inflationary pressures will prove inconsequential.
C) policy makers focus too much on economic growth and not enough on increasing savings rates.
D) the larger GDP is the better the economic welfare will be in the future.

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