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Question

Total factor productivity of a country grows at a rate of 4.8%

growth rate in labor = 2.5%

growth

rate in capital = 1.5%

share of labor in the real GDP= 75%

share of capital in the real GDP = 25%


what is the growth rate of this economy?

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IMG_20191201_214829.jpg

yz
AK
dz share of capital
1 - 2 z share of labor
AY Z DA + LAK + ( 1- 2 ) BC
A
K
L
= 4.8 + 0.25 ( 1- 5 %)
+
0.75 ( 2 0 5 1 / . )
7- 8 1 + 0. 375 / 0 + to 8 75 ).

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