Students who successfully registered in the Intermediate Macroeconomics class are defined as “registered students” and those who could not successfully registered in the Intermediate Macroeconomics class are defined as “waiting list students”. Suppose that Marge works for a local university and she would like to find the long-run average fraction of students who are on waiting list per semester for this macroeconomics class. In this local university, “registered students” will drop out from this class if they fail their midterm exam. The “waiting list students” can successfully register for this class in the middle of a semester if they pass a test. Suppose that 20% of the “registered students” could drop out, whereas 50% of the “waiting list students” could successfully admit into this class mid-way during the semester. Using these information, Marge guessed that the long-run average share of students on waiting list is 35%, which is the mid-point between 20% and 50%. Evaluate if 35% is the correct steady-state share of students per semester who is on waiting list for the Intermediate Macroeconomics class in this local university.