Reference no: EM131471780
Problems Set Related to the Solow Growth Model
Question 1 Consider a Solow economy that is on its balanced growth path. Assume for simplicity that there is no technological progress. Now suppose that the rate of population growth falls.
(a) What happens to the balanced-growth-path values of capital per worker, and output per worker? Sketch the paths of these variables as the economy moves to its new balanced growth path.
(b) Describe the effect of the fall in population growth on the path of output (that is, total output, not output per worker).
Question 2 Suppose that the production function is Cobb-Douglas. Find expressions for k*, and y* as functions of the parameters of the model, s, n, 8, g, and a.
Question 3 Consider an economy with technological progress but without population growth that is on its balanced growth path. Now suppose there is a one-time jump in the number of workers.
(a) At the time of the jump, does output per unit of effective labor rise, fall, or stay the same? Why?
(b) After the initial change (if any) in output per unit of effective labor when the new workers appear, is there any further change in output per unit of effective labor? If so, does it rise or fall? Why?
(c) Once the economy has again reached a balanced growth path, is output per unit of effective labor higher, lower, or the same as it was before the new workers appeared? Why?
|
Was there a writing sufficient to satisfy statute of frauds
: Abhe & Sxoboda, Inc. and Rainbow, Inc., a joint venture, made a bid to the State of Minnesota to sandblast, repair, and repaint a bridge. Simplex Supplies, Inc.
|
|
Create the primary key and foreign keys using a uml class
: Create the primary key and foreign keys using a UML Class diagram for each table. Describe the data structure that will store all data elements.
|
|
Flight in the special use airspace classes
: briefly describe the requirements/parameters for flight in the following special use airspace classes:
|
|
What is breach explain briefly
: Rodin Properties-Shore Mall loaned Shore Mall Associates, L.P. (SMA) $49 million to refinance the Shore Mall shopping center. A condition of the loan.
|
|
What happens to the balanced-growth-path values
: What happens to the balanced-growth-path values of capital per worker, and output per worker? Sketch the paths of these variables
|
|
Bags full is small grocery store chain in the lehigh valley
: Three Bags Full is a small grocery store chain in the Lehigh Valley. The company is trying to decide whether to include a bakery section in its stores.
|
|
Prepare journal entries to record external transactions.
: ACCT 251 Spring 2017 - Practice Set Exam. Prepare journal entries to record external transactions. Post the closing entries to the general ledger T accounts
|
|
Statement of operations
: On the bobcat IDS case study, where do you find the data to enter into the statement of operations?
|
|
What are the different methods to collect customer data
: What are the different methods to collect customer data?
|