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Under the assumptions of Solow's growth model, suppose that the production function is given by y : 1635, the saving rate is s : .47
Under the assumptions of Solow's growth model, suppose that the production function is given by y : 1635, the saving rate is s : .47 the depreciation rate is 10%, and the rate of growth of the population is 0%. (a) Find the steady state level of output per capita? What is the rate of growth of total output Y when the economy is at the steady state? (b) Assume now that the population grows at a constant rate of 5%. Find the steady state level of output per capita. What is the rate of growth of total output Y when the economy is at the steady state
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