Question: Given below are two statements: Statement I: Low-income countries (LICs) and lower-middle-income countries (LMICs) have high prospective growth rates and high marginal productivities of capital. Statement II: They should borrow, and borrow heavily, in order to finance a broad-based increase in investments on human capital (education and health), public infrastructure (power, digital, water and sanitation, transport) and environmental protection. In the light of the above statements, choose the most appropriate answer from the options given below:
Options:
(A) Both Statement I and Statement II are correct
(B) Both Statement I and Statement II are incorrect
(C) Statement I is correct and Statement II is incorrect
(D) Statement I is incorrect and Statement II is correct
Answer: A