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In country 1 the rate of investment is 5%, and in country 2 it is 20%. the two countries have the same levels of productivity, a, and the same rate of depreciation, d. assuming that the value of a is 1/3, what is the ratio of steady-state output per worker in country 1 to steady-state output per worker in country 2? what would the ratio be if the value of a were 2/3?
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In country 1 the rate of investment is 5%, and in country 2 it is 20%. the two countries have the sa...
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