Throughout the text, a simplifying assumption was made in the production function model of economic growth: the capital share, $\alpha$, is set equal to one-third. But this is not necessarily the case; indeed, $\alpha$ can be any number greater than zero and less than one. Consider two economies, H and L, with different capital shares, $\alpha$_H $\gt$ $\alpha$_L. Which country will get more output for each unit of capital added? Explain.

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The Answer of Throughout the text, a simplifying assumption was made in the production function model of economic growth: the capital share, $\alpha$, is set equal to one-third. But this is not necessarily the case; indeed, $\alpha$ can be any number greater than zero and less than one. Consider two economies, H and L, with different capital shares, $\alpha$_H $\gt$ $\alpha$_L. Which country will get more output for each unit of capital added? Explain.

Throughout the Text, a Simplifying Assumption Was Made in the Production