Question

   Consider the following production function Y = F(K,A

  • L = K1/3(A
  • L 2/3 Calculate the Golden state level of capital per effective unit of labor, when saving rate is 25%, depreciation is 6%, technological growth is 2% and population growth is 2%
A 6.08
B 3.00
C 1.62
D 3.33
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