Figure 12-2, below, displays two time paths of consumption, C and
, which may characterize a country according to its growth policies.
Figure 12-2 
-Referring to Figure above, we may conclude
A) Path C' represents the effects of a policy to lower savings from time to t1 forward.
B) Path C' represents the effects of a policy to lower savings from time t0 to t1.
C) Path C' represents the effects of a policy to lower savings from time t1 forward.
D) Path C' represents the effects of a policy to lower savings from time to t1.
Correct Answer:
Verified
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