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An economy initially has 100 units of physical capital per worker. Each year it increases the amount of physical capital by 5%. According to the

An economy initially has 100 units of physical capital per worker. Each year it increases the amount of physical capital by 5%. According to the aggregate production for this economy, each year 1% increase in physical capital per worker, holding human capital and technology constant, increase output per worker by 0.02%.

Select one:

a.210 units per physical capital per worker

b.110 units of physical capital per worker

c.105 units of physical capital per worker

d.110.25 units of physical capital per worker

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