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A country has the per-worker production function yt = 5k^{^{.5}}t , where yt is output per worker and k t is the capital-labor ratio. The depreciation rate is 0.2 and the population growth rate is 0.05. The saving function is St = 0.2Yt , where St is total national saving and Yt is total output.
a) What is the steady-state value of the capital-labor ratio?
b) What is the steady-state value of output per worker?
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