Statistical data show an impressive positive growth trend in South Korea between 1970 and 2020. Economists adopted the Solow model for the analysis of the Korean growth miracle and argued that capital accumulation and technological progress drove the growth process.

a)Draw a (large enough) Solow model diagram for the economy of South Korea in 1970. Label per person output, investment, and depreciation functions and write formulas for each function you plotted. Assuming the country's capital stock was below the golden-rule capital stock level in 1970, label it as kstst.

b)Illustrate the effects of a saving rate increase that took place between 1970 and 2020 in the Korean economy. Assume that the golden-rule steady state level of capital was reached and label it kg. Describe how key macroeconomic variables have changed relative to part A.

c)Explain how you found the golden-rule capital stock and why it is called so.

Indicate whether the statement is true or false. 8. Continuous distributions allow for fractional values of the random variable. 9. The graph of a uniform distribution is negatively skewed. 10. The number of computers in a classroom is an example of a continuous random variable. 1 1. For a standard normal distribution, the mean equals 0 and the standard deviation equals 1. 12. A continuous data set is normally distributed. The probabilities P(Z Sets > Homework: Sets Homework: Sets Score: 16/21 15/19 answered Question 18 Determine intersections and unions of sets using interval notation Given the sets A and B expressed in interval notation, find An B. A = (- 00, - 24] U [78, + 00) B - ( - 56, 79) AnB Question Help: Message instructor Submit Question Type here to search