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3. (3 points) Suppose that Elbonia follows the Harrod-Domar model of growth. If the savings rate is 3% and it takes 4 units of capital to produce one unit of output, at what rate do you expect Elbonia's output to grow? (a) 0.75% (b) 12% (c) 1.33% (d) There is not enough information to answer this question. 4. (3 points) Which of the following statements is correct? (a) When there is perfect inequality in a country, the Lorenz curve is a 45 line. (b) Gini coefficient of 1 for a country indicates perfect equality. (c) When there is perfect equality in a country, the Lorenz curve is a 45 line