Question
Suppose the parameters of the Romer model take the following values: A0=100, the research share is 10%, z=1/500 and the workforce is L=100. But in
"Suppose the parameters of the Romer model take the following values: A0=100, the research share is 10%, z=1/500 and the workforce is L=100. But in year 2030 the research share doubles and 20% of the workforce become researchers from then on.
What will be the new growth rate of output per person?" (please show work and explain)
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Managerial Economics and Organizational Architecture
Authors: James Brickley, Jerold Zimmerman, Clifford W. Smith Jr
5th edition
73375829, 978-0073375823
