2. In 1861 many southern US states seceded and formed the Confederacy. Treat the North and South as two separate countries. and analyze the effects of the secession and the Civil \"far using the Soiow model. Suppose that the rate of population growth 11. is the same in the North and South, but the North had a higher rate of productivity growth 9, a higher savings rate 5 and a higher productivity level A. {a} Vial-hat does the model predict about the long run [Balanced Growth Path} compar- ative economic performance [both growth rates and levels of per capita output) of the North and South? {b} During the Civil 'War, much of the capital stock in the South was destroyed, and after the war the country was reunited. Suppose that after war the whole U S harl the same {high} TFF' growth rate 9. savings rates a and TFP level A. that were predominant in the North. What does the model predict about the comparative econonuc performance {both growth rates and levels of per capita output} of the North and South after re-unication? Consider both the long run [Balanced Growth Path} and short run (transitional dynamics}. (Hint: This is a half-open question. You can assume the North was on its balanced growth path. so that capital per unit of effective la'oor k = Iii/HAL) was constant before reunication: to simplify the discussions. )