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Business, 09.06.2020 22:57 holmesleauja

The Solow model predicts that, over time, real GDP in developing economies could potentially converge to the same level of real GDP as developed economies. Which of the following is not consistent with convergence? a. Investors seeking to build new factories would likely build those factories in developing economies that have some political stability.
b. Developing nations should converge because they can take advantage of technological discoveries made by developed economies.
c. Over time, developing economies become richer, and developed economies become poorer, until they reach the same level of wealth.
d. Because investment in developing nations yields relatively greater returns, capital will flow into developing economies, leading to relatively greater economic gro

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