Suppose that real GDP is summarized by y- AK(HN)1-a, where A is TFP, K is capital, H is average years of education (or human capital) and N,is number of workers. If a is equal to 0.48 and the years of education increases from 12 to 16, how much does the GDP per worker increase in percent terms (approximately)? (Submit your answer with up to two decimals, i.e., -10.22 for -10.22% and 11.44 for 11.442%.)

Suppose that real GDP is summarized by y- AK(HN)1-a, where A is TFP, K is capital, H is average years of education (or human capital) and N,is number of workers. If a is equal to 0.48 and the years of education increases from 12 to 16, how much does the GDP per worker increase in percent terms (approximately)? (Submit your answer with up to two decimals, i.e., -10.22 for -10.22% and 11.44 for 11.442%.)

Economics:

10th Edition

ISBN:9781285859460

Author:BOYES, William

Publisher:BOYES, William

Chapter5: National Income Accounting

Section: Chapter Questions

Problem 14E

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