Economics · Solow Growth Model
Using the Solow model, if GDP per worker = A × K0.4 × H0.6 and total factor productivity (A) grows at 2%, capital per worker (K) grows at 3%, and human capital per worker (H) grows at 1%, what is the growth rate of GDP per worker?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 10.042
- 20.038✓
- 30.060
- 40.048
Correct answer
0.038
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