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Consider the Basic Solow Model without exogenous growth: Y = AK^{alpha}L^{1-alpha} Y = AK^L^( 1 ) C = (1-s)Y Y = C + I K

Consider the Basic Solow Model without exogenous growth:

Y = AK^{\alpha}L^{1-\alpha}

Y=AK^L^(1)

C = (1-s)Y

Y = C + I

K =I+(1)K

where labor L

L is constant. Assume the following values for the rest of this question:

A = 1000

=0.33

s = 0.12

=0.09

L = 25

Compute steady state capital per worker

Compute steady state output per worker.

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