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Question #1: Romer Model Suppose that the parameters of the Romer Model take the following values: A = 250; 7 = 0.12; Z =1/1000; Z

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Question #1: Romer Model Suppose that the parameters of the Romer Model take the following values: A = 250; 7 = 0.12; Z =1/1000; Z =1390 (a) What is the growth rate of ideas in this economy? Round your answer to two decimal places. (b) What is the initial level of output per person (yo)? What is the level of output per person after 35 years (y35) ? Round your answers to two decimal places. (c) Suppose that the share of workers engaged in research rises to /=0.18. Calculate the new growth rate of ideas in this economy. Round your answer to two decimal places. (d) Suppose that the share of workers engaged in research rises to / =0.18. What is the initial level of output per person (yo)? What is the level of output per person after 35 years (y35) ? Round your answers to two decimal places

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