5. An economy has the per-worker production function Y = 2.0.5 where y, is output per worker and k, is the capital- labour ratio. The depreciation rate is 0.1, and the population growth rate is 0.05. Saving is S = 0.38 where S, is total national saving, and Y, is total output.

a. What are the steady-state values of the capital- labour ratio, output per worker, and consumption per worker? The rest of the problem shows the effects of changes in the three fundamental determinants of long-run living standards.

b. Repeat part

(a) for a saving rate of 0.4 instead of 0.3.

e. Repeat part

(a) for a population growth rate of 0.08 (with a saving rate of 0.3).

d. Repeat part

(a) for a production function of y = 4 Assume that the saving rate and population growth rate are at their original values.