Lecture 4 34

Lecture 4 34 - α ) is constant. So wages w do grow at a...

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Stylized Facts of Economic Growth 4. Wages (w) grow at a constant rate From the second FOC: g A A A w w w k A w AN K A w = = = = ' ' ~ ) 1 ( ) ( ) 1 ( α Since does not change in the steady state and (1-
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Unformatted text preview: α ) is constant. So wages w do grow at a constant rate k ~...
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