Question

Economic growth in country X will necessarily have to occur if ___________________.

• A. there is a technical progress in the world economy
• B. there is population growth in X
• C. there is a capital formation in X
• D. the volume of trade grows in the world economy

Answer 1

The correct option is C there is a capital formation in X

Capital formation (investment) brings additional income/production in the economy which enhances growth. Other of the given choices do not lead to 'necessay' growth.