Consider our Solow Model with exogenous population and technology growth. Suppose n = 2% and ehat = 3%. What is the steady state growth rate of Y (total output)?

Group of answer choices

1 3%

2 2%

3 0% (constant)

4 5%

Question 21

Shocks to which variable (or variables) will affect long-run growth of output per worker in our Solow model?

Group of answer choices

1 both n and ehat

2 gamma

3 ehat

4 n