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Consider an economy where the stock of capital per efficient worker is equal to 1000 units. The savings rate is 20%. The depreciation rate is
Consider an economy where the stock of capital per efficient worker is equal to 1000 units. The savings rate is 20%. The depreciation rate is 10%, the population growth rate is 2%, and the productivity growth rate is 2%. The capital coefficient a is equal to 1/3. What is the level of investment per efficient worker needed to keep the level of capital per efficient worker constant in this economy
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