Which of the following best describes the catch-up effecf? O It is easier for a country to grow fast and "catch up" with richer countries if it starts out relatively poor. Saving will alwaya "catch...

Q14

Extracted text: Which of the following best describes the catch-up effecf? O It is easier for a country to grow fast and "catch up" with richer countries if it starts out relatively poor. Saving will alwaya "catch up" with investment spending. If investment spending is low, increased saving will help investment to "catch up O Rich countries aid relatively poor countries no as to help them "catch up."