In the Solow growth model of an economy with population growth but no technological change, if population grows at rate n, total output in the steady state grows at rate _____, and output per worker grows at rate _____ in the steady state.

Question

Quizplus · Accepted Answer

In the Solow growth model with population growth and no technological change, total output grows at the rate of population growth, n, while output per worker remains constant in the steady state, hence grows at rate 0.

In the Solow Growth Model of an Economy with Population