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Now consider a second economy, Country B, that did not suffer the same earthquake (or any other shocks), but has a steady state capital stock

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Now consider a second economy, Country B, that did not suffer the same earthquake (or any other shocks), but has a steady state capital stock K* = 200 (million dollars). (c) What might explain the low capital stock in Country BY You may refer back to your an- swer to part (d) but provide the economic intuition. If Country B remains at its steady state, how does its growth rate compare to the country that suffered the earthquake over time? (5 points)

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