# The Vicious circle theory states that ? with Answer - Economics Mcqs | ExamZone

> Solved MCQ: The Vicious circle theory states that ? Correct Answer: D. low per capita incomes creates low savings that keep incomes low. Verified answer explanation for FPSC, PPSC, MDCAT, NTS, and CSS competitive exam preparation.

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# The Vicious circle theory states that ?

Direct Answer & Quick Reference

The correct option is **D. low per capita incomes creates low savings that keep incomes low**.

A. growing government assistance create addiction to welfare programs

B. low income levels create pressure for money creation

C. low income levels create pressure for cheap imports

D. low per capita incomes creates low savings that keep incomes low **(Correct Answer)**

Verified Key: D. low per capita incomes creates low savings that keep incomes low
Solved by 4,868+ students

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