The initial steady-state level of capital per worker in, Business Economics

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The initial steady-state level of capital per worker in

The initial steady-state level of capital per worker in Macroland is 5. The Golden Rule level of capital per worker in Macroland is 8. a. What must change in Macroland to achieve the Golden Rule steady state? b. Why might the Golden Rule steady state be preferred to the initial steady state?

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