Suppose k, l, and A grow at constant rates given by $\bar { g } _ { k }$, $\bar { g } _ { y}$, and $\bar { g } _ { A }$' The growth rate of y if $y = A k ^ { a } l ^ { a }$ is $\bar { g } _ { y } = \bar { g } _ { A } + a \left( \bar { g } _ { k } + \bar { g } _ { i } \right)$

Question

Suppose k, l, and A grow at constant rates given by $\bar { g } _ { k }$,   $\bar { g } _ { y}$,  and $\bar { g } _ { A }$'  The growth rate of y if $y = A k ^ { a } l ^ { a }$  is $\bar { g } _ { y } = \bar { g } _ { A } + a \left( \bar { g } _ { k } + \bar { g } _ { i } \right)$

Quizplus · Accepted Answer

The growth rate of y is the sum of the growth rates of A, k, and l, weighted by their respective exponents.

Suppose K, L, and a Grow at Constant Rates Given gˉk\bar { g } _ { k }gˉ​k​

Suppose K, L, and a Grow at Constant Rates Given $\bar { g } _ { k }$