15. If government purchases take the form of public employment and public capital investment, the transition equation for private capital intensity is worker productivity a. k++1 = kk b. k+1 = ka+ c. kt+1 = k+(l-a) d. kt+1 = kt 16. In a numerical analysis of the transition equation for private capital, we made the following parameter assumptions: n=1, d=0, =1/2, = 1/3,A=10, 5= c = 0, =1/3 and an initial capital intensity of ko = 0.0500. In this model, increasing the tax rate 7 from 0 to 0.10, causes the transition equation to shift _and worker productivity growth to a. up, increase b. up, decrease c. down, increase d. down, decrease 17. In a numerical analysis of the transition equation for private capital, we made the following parameter assumptions: n=1, d=0, =1/2, =1/3,A=10, 5=c =0, =1/3 and an initial capital intensity of ko = 0.0500. In this model, increasing the tax rate from 0.10 to 0.20, causes the transition equation to shift _and worker productivity growth to a. up, increase b. up, decrease c. down, increase d. down, decrease Open Economy 18. The international equilibrium rental rate paid to capital owners is denoted by a. r * b. r*-8 c. a Ag(-a) ka-1 d. a Ag(-a)ka-1-6