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Technology grows at a rate of three percent in an economy in which ten percent of the workforce is engaged in research and development, where
Technology grows at a rate of three percent in an economy in which ten percent of the workforce is engaged in research and development, where their productivity is 0.003. The economy is on a balanced growth path, and the workforce is growing at two percent. Calculate the growth rates of output, capital, and output per worker now, and five years from now.
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