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PLEASE ONLY ANSWER PART (e), not sure how to do it. Something to do with marginal product of capital being equal to depreciation. Consider a
PLEASE ONLY ANSWER PART (e), not sure how to do it. Something to do with marginal product of capital being equal to depreciation.
Consider a growth model with population growth, labour-augmenting technology growth, and human and physical capital. Suppose that the aggregate production function takes the following form: Y(t)=K(t)H(t)[A(t)N(t)]1. where Y(t) denotes output, K(t) physical capital, and H(t) human capital. N(t) is labour, and A(t) denotes labour productivity. Note that A(t)N(t) is commonly referred as effective labour. Assume >0,>0 and +0,>0 and +Step by Step Solution
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