3. Suppose an economy is described by the Solow model. The rate of population growth is 1...

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3. Suppose an economy is described by the Solow model. The rate of population growth is 1 percent, the rate of technological progress is 3 percent, the depreciation rate is 5 percent, and the saving rate is 10 percent. In the steady state, output per worker grows at a rate of percent.

a. 1

b. 2

c. 3

d. 4

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Macroeconomics

ISBN: 9781319263904

11th Edition

Authors: N. Gregory Mankiw

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