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Read Dollars and Sense Real World Macro Article 3.3 by Gerald Friedman. Write 300 words.
1. What has contributed to the slowdown in growth during the 20th and 21st centuries? In your own words, describe both the supply-side arguments (from Gordon) and the demand-side arguments (presented by Friedman)
2. Why do you think wages have grown at a much slower rate than productivity since the 1970s? How has this trend impacted income inequality in the United States?
Attachment:- Friedman Future for Growth.rar
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Consider the Solow growth model with constant (positive) population growth (γN > 0) and technological change (γH > 0). Suppose that the aggregate production function is Yt = ztKt^a(HtNt)^1−α. Derive the law of motion for capital per effective worker,..
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