Assertion (A): One of the characteristics of many underdeveloped countries is that they have a low saving rate and low capital formulation. Reason (R): In underdeveloped countries this is mainly due to high level of consumption.

Posted by MCQ LOG at 1:19 PM

Assertion (A): One of the characteristics of many underdeveloped countries is that they have a low saving rate and low capital formulation.
Reason (R): In underdeveloped countries this is mainly due to high level of consumption.

Codes :

(1) Both (A) and (R) are true and (R) is the correct explanation of (A)

(2) Both (A) and (R) are true but (R) is not the correct explanation of (A)

(3) (A) is true but (R) is false

(4) (A) is false but (R) is true


Answer - (2) Both (A) and (R) are true but (R) is not the correct explanation of (A)