Characterize the steady-state equilibrium and the, Econometrics

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Characterize the steady-state equilibrium and the

Modify the neoclassical economy (without technological change) by introducing costs of adjustment in investment as in the q-theory of investment studied in Section 7.8. Characterize the steady-state equilibrium and the transitional dynamics. How do the implications of this model differ from those of the baseline neoclassical model?

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