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  • 24-05-2023
  • Business
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Suppose an economy is in its steady state with k* = 49.38. Imagine it has the following characteristics: Alpha: a = 0.7 Savings Rate: s= 0.4 Population Growth Rate: n = 0.05 Depreciation Rate: 8 = 0.075 Level of Technology: Ao = 1.5 a) (4 Points) Calculate steady-state per-capita production and steady state per-capita consumption of this economy.

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