Suppose an economy begins in steady state

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Per capita GDP in the long run: Suppose an economy begins in steady state. By what proportion does per capita GDP change in the long run in response to each of the following changes?

(a) The investment rate doubles.

(b) The depreciation rate falls by 10%.

(d) An earthquake destroys 75% of the capital stock.

(e) A more generous immigration policy leads the population to double.

Reference no: EM131004743

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