Holding the human capital per worker and technology unchanged, the estimated aggregate production function in Jamaica is Y / L = 50 * K / L, where Y = real output, L = number of workers, and K = quantity of physical capital. If real GDP per worker equals $3,200, physical capital per worker equals:

Question

Quizplus · Accepted Answer

Using the estimated aggregate production function, we know that real output per worker is equal to 50 times physical capital per worker. Thus, we can calculate physical capital per worker as (real GDP per worker) / 50. Plugging in the given value of real GDP per worker ($3,200), we get:

physical capital per worker = $3,200 / 50 = $64

Therefore, the answer is B) $64.

Holding the Human Capital Per Worker and Technology Unchanged, the Estimated