According to the Harrod-Domar growth model, economic growth depends on which of the following relationships?

Choose the correct answer

Explanation

The Harrod-Domar model states that economic growth is positively correlated with the level of savings and inversely correlated with the capital-output ratio, meaning higher savings boost growth while a higher capital-output ratio reduces it.

According to the Harrod-Domar growth model, economic… — Theories of Economic Development | PakQuizHub