5. In the Solow growth model, defining s as the savings rate, Y, as output, and C, as consumption, invest- ment, It, is given by:
5. In the Solow growth model, defining s as the savings rate, Y, as output, and C, as consumption, invest- ment, It, is given by: A. It = (1-3) B. It = SY C. It = (1-)C D. It = SY - C E. I, = (1 -3)Y, 6. Consider the Solow growth model where the production function is Cobb-Douglas with A as the total factor productivity and or as the capital share. The steady-state capital stock per worker is: A. (8A/d) 14. B. (8A/d) Tha C. (*A/d) Tha D. (3A/d) 1 -o E. (8A/d) 7. In the textbook Solow growth model, an increase in the savings rate the steady-state capital stock per worker, _steady-state output per worker, and steady-state consumption per worker. A. Reduces; Reduces; Reduces B. Raises; Raises; Raises C. Raises; Reduces; Reduces D. Reduces; Raises; Raises E. Raises; Raises; Can raise or lower
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