Suppose that in contrast to 81 investment in period t is, Econometrics

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Suppose that in contrast to 81 investment in period t is

Suppose that in contrast to (8.1), investment in period t is productive in that period. Compare these two formulations of the investment problem. Assuming that all functions are differentiable, create Euler equations for each specification. Explain any differences.

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Econometrics: Suppose that in contrast to 81 investment in period t is

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