Question

19:49 Exit p ta O words </> Question 10 7 pts Solow model: Show graphically what happens to capital per worker (k), and output per worker (y) for a country, when both, the savings rate and the population growth rate, increase from sto s' and n to n' respectively. (There are more than one possibilities for the change in k and y. You are expected to upload the graph for any ONE of the possibilities.) Upload Choose a File Question 11 5 pts True or False? Resources are distributed among members of a household in a pareto efficient way in developing countries. Explain. (Please be bric, am sentences)

Answer 1

output per worker saving percoooker. Breakeven Investment y = f(K) & go. (n'tsk Q.10 (A+S)k > sy. sy. U 2 k (capital per worker). Capital per U worker (k) decreases & oulput per worker ly) for a country also decreases 01 U False; Resowros ore distributed anong members of a household in a parelo efficient way in developing country. As parselo efficiency imples that resources are allocated in most economically efficient manner but doesn't imply equality or fairness. An econo economy change can make one individual better off without making at least one worse off But, we know that many economic activities can increase the bring Standard of people at a time. in panelo optimun Stale when conomy is said to be الله