Which country would you expect to have a higher rate of investment: a catch-up country or a cutting-edge country? If the government of a poor catch-up country is trying to decide whether to encourage...

Which country would you expect to have a higher rate of investment: a catch-up country or a cutting-edge country? If the government of a poor catch-up country is trying to decide whether to encourage investment or encourage research an development, which of the two should it favor? (Note: In a world of trade-offs, you can’t just say, “Both are important!”)