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You learned that convergence is a pattern in which economies with low per capita income grows faster than economies with high per capita incomes. In
You learned that convergence is a pattern in which economies with low per capita income grows faster than economies with high per capita incomes. In this context, there are arguments pro and against convergence. Based on the figure below, choose the correct answer for the blanks: Convergence with capital deepening and improvements in technology One of the arguments that favors convergence is based on the idea of the diminishing marginal returns of capital deepening that is illustrated when the economy moved from point R to point W . However, the argument that convergence is neither inevitable nor likely argues that the development of new technologies can sidestep the diminishing marginal returns of capital deepening, so that the economy could move from point R to point S , and then from point S to point T
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