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A small country has 400 units of capital. This year it will produce 20 units of new capital goods and depreciate 5% of its capital

A small country has 400 units of capital. This year it will produce 20 units of new capital goods and depreciate 5% of its capital stock. Based on this information, it should expect to have growth over the next year if technological knowledge remains constant. A) catching - up

B) positive and

C) no

D) negative

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