Which of the following actions does not promote capital deepening?

a.) low population growth rate at the same time that capital stock expands;

b.) saving less and spending more of one's disposable income;

c.) borrowing money from foreign nations to invest in building infrastructure in this country;

d.) raising taxes to pay for building roads

Question

Parker Price

Business

28 September, 17:23

Which of the following actions does not promote capital deepening?

a.) low population growth rate at the same time that capital stock expands;

b.) saving less and spending more of one's disposable income;

c.) borrowing money from foreign nations to invest in building infrastructure in this country;

d.) raising taxes to pay for building roads

+2

Answers (1)

Know the Answer?

Adalynn Levy · Answer 1

I think the correct answer from the choices listed above is option B. All of the actions do promote capital deepening except saving less and spending more of one's disposable income. Hope this answers the question. Have a nice day.