hey of Fly Economics Property of FIU Economics Property of FIU Economics 21. Consider the following version of Solow's model of economic growth with no technological erty ess.J Economics Property of FIU Economies Property of FIU Economics yt = kl/2 erty on Ct = (1 - s) yt ies Property of FIU Economics Property of FIU Economics it = syt my .F Akitt = sys-(n+ )kerty of FIU Economics Property of FIU Economics S = 0.24 myo. 8 = 0.04 omics Property of FIU Economics Property of FIU Economics . n = 0.02 rty of FIU Economics Property of FIU Economics Property of FIU Economic a. If capital per worker (k) is 9 at time O (ko = 9.0), what will capital per worker be at times 1, 2, and 3? What will income per person (y) be at times 0, 1, 2 and 3? b. What will the growth rate of income per person (%yt,t+1) be between times 0 and 1, 1 and omic 2, and 2 and 3? c. Suppose the population size is 1.0 at time zero (Lo = 1). What will aggregate income (Y = mic y X L) be at times 0, 1, 2, and 3? Hint: By definition, Lt+1 = (1 + n)Lt. and. What will the growth rate of aggregate income (%Yt,t+ 1) be between times 0 and 1, 1 andnomic 2, and 2 and 3? ert e. What is the steady state value of capital per worker (k*) for this model? What will income mic per person (y) be in the steady-state? f. What will the growth rate of income per person (%Ayt,t+1) be in the steady-state? What erty will the growth rate of aggregate income (%AYt,t+1) be in the steady-state? Explain. economic