Do higher saving rates affect longshyrun economic growth

Question

1. A. Do higher saving rates affect long­run economic growth? Explain.

B. Do higher investments in research and development affect long­run economic growth? Explain.

2. Might a job retraining program be a more useful policy to address structural unemployment than to address frictional unemployment?

3. A. Explain with the help of a graph how the minimum wage might cause unemployment;

B. Explain with the help of a graph how the efficiency wage might cause unemployment.