Question:
The economy of INDUS grows at 6% per annum and its investment ratio is 31.2%. What is the capital output ratio of this economy, by the assumptions of the Harrod-Domar model?
The economy of INDUS grows at 6% per annum and its investment ratio is 31.2%. What is the capital output ratio of this economy, by the assumptions of the Harrod-Domar model?
Updated On: Mar 10, 2024
- 18.72
- 5.2
- 0.65
- 4.6
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The Correct Option is B
Solution and Explanation
The correct answer is (B) : 5.2
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