Find steady-state-capital stock per worker-output per worker

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Reference no: EM131091393

Consider an economy with the following Cobb-Douglas production function: Y = K^1/3 L^2/3 (a) What is the per-worker production function? (b) Assuming no population growth or technological progress, find the steady-state, capital stock per worker, output per worker, and consumption per worker as a function of the saving rate and the depreciation rate. (c) Assume that the depreciation rate is 10% per year. Use the marginal product of capital to find the golden rule level of capital per worker, consumption per worker, and output per worker

Reference no: EM131091393

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