2. A Neoclassical Model of Entrepreneurship (25 points total) Consider an entrepreneur household who lives for two periods t = 1, 2. The household owns
2. A Neoclassical Model of Entrepreneurship (25 points total) Consider an entrepreneur household who lives for two periods t = 1, 2. The household owns and operates a business which uses physical capital Is. to produce output yt according to the production function y: = k? where the capital elasticity satisfies 0 0 and u\"
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