If capital per hour of labor increases 6 percent and real GDP per hour of labor increases by 4 percent, then according to the one- third rule technological change

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According to the one-third rule, if capital per hour of labor increases by 6 percent, then 2 percent (one-third of 6 percent) of the increase in real GDP per hour of labor is due to capital deepening, implying that the remaining 2 percent of the 4 percent growth is due to technological change.

If Capital Per Hour of Labor Increases 6 Percent and Real