Bl. Some economists conduct a development accounting exercise to understand why output per worker is so different across countries (see Table below). As an economist. you are trying to explain to the Chinese government about the findings and give them advice. Country Income per Average Years % of U.S. Income per Worker in 2010 of Schooling Physical Capital Worker If Stock per Technology Were Worker in 2010 at U.S. Level (1) (2i (3) (4) (5) United States 82.359 13.1 100.0 SAME United Kingdom 67.025 9.8 65.8 61,548 South Korea 54,315 11.8 87.7 74,496 Spain 54,539 10.4 83.9 68,684 Mexico 2?,625 9.1 33.5 47,725 Brazil 15,975 7.5 16.9 35,045 China 12,961 8.2 14.9 34,881 India 9,010 5.1 8.9 24,071 Ghana 4,928 7.1 4.2 21 ,502 Afghanistan 3,980 4.2 3.7 1 6,818 Dem. Rep. of the 628 3.5 0.8 9,625 Congo a) Use the table above to explain to the Chinese government why China is less productive than the US. [6 marks] b) Using the Solow model. explain to the Chinese government that a policy that increases the saving rate is good for growth and productivity in the short run but it is not an effective policy for the long run. [7 marks] c) Using the Solow model. explain to the Chinese government that a good policy for the long run is to be more open to adopting better technology and devote more resources to research and technology. Why does this policy work better than the policy in (b) in the long run? [7 marks]