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Q. |
According to Harrod-Domar model, once the steady growth is interrupted and the economy falls into disequilibrium, cumulative forces tend to perpetuate divergence thereby leading to |
A. | inflation in the economy |
B. | either secular deflation or secular inflation |
C. | Low economic growth rates |
D. | All of the above |
Answer» B. either secular deflation or secular inflation |
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