Explain destruction of a portion of capital stock of nation, Financial Accounting

According to the Solow model, how would each of the following affect consumption per worker in the long run (i.e. in the steady state)? Draw a figure and explain.

a. The destruction of a portion of the nation's capital stock in a war.

b. A permanent increase in the rate of immigration (which raises the overall population growth rate).

Posted Date: 3/23/2013 6:09:23 AM | Location : United States







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