What extent will low savings rates in the United States limit physical capital accumulation?

• Low savings rates will not limit the accumulation of physical capital as long as the country can also access and use savings from outside the country.

• Low savings rates will not limit the accumulation of physical capital because the government will increase taxes to pay for the new physical capital.

• Low savings rates will limit capital accumulation because there will not be enough money available to pay for physical capital.

• Low savings rates will limit the accumulation of physical capital because the only source of financing for capital accumulation is domestic savings.

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