Assume a country has a ca

Assume a country has a ca

Assume a country has a capital-output ratio = 3, national saving = 0.12Y. According to Harrod-Domar modela. What is the annual rate of growth of GDP in Developia?b. If the annual inflation rate in Developia is 2%, what is the annual rate of growth of real GDP?c. If the annual rate of population growth in Developia is 1%, what is the annual rate of growth of real GDP per capita in Developia?d. How much foreign aid should Developia get to increase the rate of growth of real GDP to 6%?

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