Explain how would you go about resolving the issue

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For a developing country to grow, it needs capital. The source of capital in most countries is domestic savings. But the goal of stimulating domestic saving, usually is in conflict with government polices aimed at reducing inequality in the distribution of income.

Comment on this trade-off between equity and growth. Explain how would you go about resolving the issue if you were the president of a small poor country.

Reference no: EM1351828

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