What are the capitals and labours shares of income

Assignment Help Business Economics

Reference no: EM13838172

Consider the following production function. Y=K^5 (AN)^.5 , where both the population and the pool of labor are growing by rate n=.07, the capital stock is deprecciating at a rate of d= .03, and A is normalized to 1.

A. What are the capitals and labour’s shares of income?

B. What is the form of this production function?

C. Find the steady state values of k and y when s=.20

D. At what rate is per capita output growing at a steady state? At what rate is total output growing? What if the total factor of productivity is increasing at a rate of 2 percent year (g=.02)?

Reference no: EM13838172

Questions Cloud

What factors besides income influence work decisions : Would you continue to work after winning a lottery prize of $50,000 a year for life? Would you change schools, jobs, or career objectives? What factors besides income influence work decisions?

Power can be defined as the ability to bring : BUSI/MGMT-Ethical Leadership - Power Power can be defined as the ability to bring about changes in the immediate environment. Power can be exercised by an individual, or a group over other individuals, groups, or organizations.

What saving rate would yield golden-rule level of capital : Consider an economy in which production characterized by the neoclassical function Y=K^.5N^.5. Suppose, again, that it has a saving rate of .1, a population growth rate of .02 and a average depreciation rate of .03. Determine what saving rate would y..

Doing a business project : Doing a business project for my information system management class. Creating parts of a business proposal. Specifically the information systems structure discussion: the business is virtual reality training. Customers being military, students In a c..

What are the capitals and labours shares of income : Consider the following production function. Y=K^5 (AN)^.5 , where both the population and the pool of labor are growing by rate n=.07, the capital stock is deprecciating at a rate of d= .03, and A is normalized to 1. What is the form of this producti..

Plan in healthcare : QI Plan in Healthcare •Identify what is a QI plan and its purpose. •Identify the components of a QI plan. •Identify the appropriate situation to use a QI plan

Increase in the population growth rate : Suppose there is an increase in the population growth rate. Show graphically how this affects the growth rate of both output per capita and total output in the short and the long run.

Current organizational structure : Annie is considering amending her current organizational structure. Using your reading try to advise her on what structure might work well to help solve her project problem. Annie currently has four leadership team members that each head up one divis..

Decent measure for countrys standard of living : How is it that China has the 2nd highest GDP in the world and is in the 90th place on GDP per Capita in the world? Is GDP per capita, a decent measure for a country's standard of living, why or why not?

User Account

All Pages