With the parameters as they are, Is the initial value of IQTL greater than the equilibrium value or less than the equilibrium value? How can you tell? What is the equilibrium value? What is the rate of growth of output? What is the rate of growth of output per worker? How does this fit with what we learned in class about this model.
Growth theory a. Go to canvas and retrieve the file “Growth theory work sheet.xlsx”, and make a copy of it. b. Open the work sheet and find the column that contains the production function. Ignoring, for the moment the values of the parameters, whose version of the Solow model is this ? Is the production […]