Which of the following will most likely contribute to the growth of a country?
A)secure property rights and low marginal tax rates
B)price controls that keep the cost of agricultural products low
C)rapid monetary growth
D)exchange rate controls and export restrictions

Question

Quizplus · Accepted Answer

Secure property rights provide an incentive for individuals to invest in their businesses and assets without fear of confiscation, while low marginal tax rates encourage entrepreneurship and investment. Both of these factors contribute to economic growth in a country.

B, C, and D would hinder economic growth. Price controls would discourage investment and innovation in agricultural industries, and rapid monetary growth can lead to inflation and decrease the value of money. Exchange rate controls and export restrictions limit international trade and hinder economic growth.

Which of the Following Will Most Likely Contribute to the Growth