Find an expression for the steady state value of capital

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Reference no: EM133276788

Question - Suppose that the production function is given by y = zk^1/2.

a) Find an expression for the steady state value of capital per worker k* as a function of exogenous variables. Show your work.

b) According to the expression you found in (a), what happens to the steady state value of capital per worker k* if the saving rate s falls?

Reference no: EM133276788

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