If we define and
As the saving rates in Countries 1 and 2, respectively,
As the depreciation rates in Countries 1 and 2, respectively, and And
As productivity in Countries 1 and 2, respectively, in the Solow model, the equation ________ predicts that ________ contribute the most to differences in steady-state output per worker.
A) ; productivity differences
B) ; saving rate differences
C) ; productivity differences
D) ; productivity differences
E) ; saving rate differences
Correct Answer:
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