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An economy has the production function y = 20k1/2. The current capital stock is 256 and the depreciation rate is 8 percent, and the




An economy has the production function y = 20k1/2. The current capital stock is 256 and the depreciation rate is 8 percent, and the population growth rate is 2 percent. For income per person to grow, the saving rate must exceed Question 1 options: 6 percent 8 percent 10 percent 12 percent

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