4. What would be the effect of each of the following events on actual and potential economic growth? (Assume no other changes take place.) (a) A reduction in the level of investment. Actual growth: rise / fall / no effect Potential growth: rise / fall / no effect (b) People save a larger proportion of their income. Actual growth: rise / fall / no effect Potential growth: rise / fall / no effect (c) A reduction in the working week. Actual growth: rise / fall / no effect Potential growth: rise / fall / no effect (d) Increased expenditure on education and training. Actual growth: rise / fall / no effect Potential growth: rise / fall / no effect (e) The discovery of new more efficient techniques which could benefit industry generally Actual growth: rise / fall / no effect Potential growth: rise / fall / no effect (f) A reduction in interest rates. Actual growth: rise / fall / no effect Potential growth: rise / fall / no effect 2