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An economy has the production function y = 20k 1/2 . The current capital stock is 100, the depreciation rate is 10 percent, and the

An economy has the production function y = 20k1/2. The current capital stock is 100, the depreciation rate is 10 percent, and the population growth rate is 2 percent. For income per person to grow, the saving rate must exceed

a)6 percent.b)8 percent.c)10 percent.12 percent.

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