To increase growth, governments should do all of the following except ?
Correct answer: C. nationalize major industries
- A. encourage foreigners to investment in your country
- B. encourage saving and investment
- C. nationalize major industries
- D. encourage research and development
- E. Promote free trade
Explanation
Nationalizing major industries can weaken competition, incentives and efficiency, so it is not generally a recommended growth policy. Saving, investment, foreign investment, research and development, and free trade can all support long-run growth.
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