Question
Consumption per worker is 72, depreciation is 12.5%, and capital per worker is 64. Given the production function y = 20k^1/3, show that this economy
Consumption per worker is 72, depreciation is 12.5%, and capital per worker is 64. Given the production function y = 20k^1/3, show that this economy is in a steady state. If the saving rate should double, what is the new steady-state level of consumption per worker?
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Legal Fundamentals for Canadian Business
Authors: Richard A. Yates
4th edition
133370283, 978-0133370287
