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re: Here's an economics multiple choice question for you all
Posted on 5/15/14 at 4:55 pm to The Sultan of Swine
Posted on 5/15/14 at 4:55 pm to The Sultan of Swine
quote:
Lower savings rate ---> less growth
Wait wut?
1
Posted on 5/15/14 at 5:00 pm to Broke
quote:
Wait wut?
I think you are confusing spending/level and growth.
Less savings will increase current spending, but it lowers your investment in capital, which leads to a lower long run growth rate.
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