Defining the growth of variable
as
,in the combined Solow-Romer model,the growth rate of total output,using the standard production function,is given as
.

Question

Defining the growth of variable  
as  
,in the combined Solow-Romer model,the growth rate of total output,using the standard production function,is given as  
.

Quizplus · Accepted Answer

The given information is not enough to determine whether the growth rate of total output using the standard production function will change or not. The change in variable 11ea895d_4d63_7a0a_8397_0d63ed3dbe11_TB4305_11 may have different effects on the growth rate, depending on the specific parameters and assumptions of the model.

Defining the Growth of Variable