Suppose the following situation exists for an economy: Kt+1 / N

Question

Suppose the following situation exists for an economy: Kt+1 / N < Kt / N.Given this information,we know that
A)saving per worker equals depreciation per worker in period t.
B)consumption per worker will tend to fall as the economy adjusts to this situation.
C)saving per worker is greater than depreciation per worker in period t.
D)the saving rate increased in period t.
E)none of the above

Quizplus · Accepted Answer

The Answer of Suppose the following situation exists for an economy: Kt+1 / N < Kt / N.Given this information,we know that
A)saving per worker equals depreciation per worker in period t.
B)consumption per worker will tend to fall as the economy adjusts to this situation.
C)saving per worker is greater than depreciation per worker in period t.
D)the saving rate increased in period t.
E)none of the above

Suppose the Following Situation Exists for an Economy: Kt+1