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What are Rostowís limitations?
• Presently LDCs face much various conditions than DCs into the 19th century the origin of Rostowís studies
• LDCs are very same but very different which generalised solution inappropriate is
• Rostow does not describe the link in between Investment and Savings. The Harrod-Domar model best describes that.
• Savings fund investment but investment alone is an essential but inadequate condition for growth. Growth requirements right social, Cultural, institutional and political conditions to be into place too.
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A. CALCUATE THE OPTIOMAL MONEY GROWTH RATE NEEDED FOR THE FED TO HIT ITS INFLATION TARGET RUN
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