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music
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As I reviewed the data online
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I talked to ton of college students
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everyone is missing this one question
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it's time to make the video.
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music
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today we are going to solve the following problems
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from our video on the solar models study states
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country A produces GDP according to
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the following equation:
GDP=5K and has a capital stock of 10,000
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if the country devotes 25%of its GDP
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to making investment goods,
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how much is this country investing?
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Additionally if 1% of all Capital depreciates
every years
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is the country's GDP increasing,decreasing
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or remaining constant- in steady state?
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As always, it's best to watch the video first.
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and try to solve this problem by yourself.
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if you have remaining questions,
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you can always return, and we can
work out this question together.
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ready, this question has two parts
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first finding how much this country 's investing
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second is determine whether or not,
the GDP is growing.
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fortunately, that the first question is actually
a necessary step
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for solving the second one
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first things first
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the relevant information from that problem
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is on the top of left hand corner of the board
for reference
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As always, it's best way for identifying the steps
for solving the problem.
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The first of two questions is very straight forward
Marginal Revolution University
