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In the Vicious Circle of Poverty, what indicates the supply-side link?

  1. A
    Productivity and income
  2. B
    Income and population
  3. C
    Investment and technology
  4. D
    Savings and capital

Solution & Step-by-step Explanation

According to Ragnar Nurkse's Vicious Circle of Poverty theory, the supply-side circular constellation runs as follows: Low Income Low Savings Low Investment Capital Deficiency Low Productivity Low Income. Hence, the critical path features the savings-capital relationship.

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In the Vicious Circle of Poverty, what indicates the supply-side link?
A
Productivity and income
B
Income and population
C
Investment and technology
D
Savings and capital

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