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ANSWER ALL QUESTIONS AND SHOW YOUR WORK Good review if it is accurate and fully answered!...

ANSWER ALL QUESTIONS AND SHOW YOUR WORK

Good review if it is accurate and fully answered!

QUESTION 8

  1. Consider a Solow growth model where n=0, s=0.2, d=0.1, and F(K,N)=K^0.3*N^0.7. Suppose that initially at time t=0 the total factor productiviy is z=1 and the economy is in a steady state.

    What is steady state investment per capita?

10 points   

QUESTION 9

  1. Consider a Solow growth model where n=0, s=0.2, d=0.1, and F(K,N)=K^0.3*N^0.7. Suppose that initially at time t=0 the total factor productiviy is z=1 and the economy is in a steady state.

    What is the steady state growth rate of output per capita?

10 points   

QUESTION 10

  1. Consider the following Solow growth model. F(K,N)=K^0.5*N^0.5, with d=0.1, s=0.2, n=0.01, and z=1.

    What is the steady state capital stock per worker?

10 points   

QUESTION 11

  1. Consider the following Solow growth model. F(K,N)=K^0.5*N^0.5, with d=0.1, s=0.2, n=0.01, and z=1.

    What is income per capita in the steady state?

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Answer #1

0.3 0 .3 As dis ud aboveat skeady state

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