1. Growth Rate Calculations. U.S. GDP in 2019 was $21.4 trillion, and U.S. GDP\/person in 2019 was about $65,200, while China\u00e2\u20ac\u2122s GDP in 2019 was $14.1 trillion (converted to US$ at market exchange rates), and China\u00e2\u20ac\u2122s GDP\/person in 2019 was $19,600 (converted to US$ at PPP-adjusted exchange rates).<\/p>\n
2. Solow Growth Model and Chinese Population Growth: After many decades of rapid population growth, China adopted a \u00e2\u20ac\u0153one child\u00e2\u20ac\u009d per couple policy in 1980 to reduce its population growth rate. Let\u00e2\u20ac\u2122s use the Solow Growth Model to examine the effects of this change, assuming the one-child policy was permanent.<\/p>\n
3. Solow Growth Model and World War II Recovery: As you can probably imagine, World War II destroyed a significant part of the capital stock in Europe and Japan (factories, buildings, roads, ships, etc.). Yet by the late 1960s, GDP per worker in West Germany, Japan, and France was very close to GDP per worker in the U.S. (where very little of the capital stock was destroyed during the war).<\/p>\n
a) Assume that savings rates and population growth rates in the U.S. and these other countries were equal during this period, and assume that technology in the U.S. and these other<\/p>\n
advanced European and Japanese economies was similar, so that each of these countries had the same production function. Assume that the U.S. and these other countries all started out at steady state before the war began. Draw a Solow Growth Model diagram for investment and break-even investment for these countries. At the end of World War II, where would the U.S. be in the diagram? Where would West Germany, Japan, and France be (assume these three countries are all at the same point in your diagram)? (Also assume that the percentage decline in the capital stock was greater than the percentage decline in the number of workers in each of these countries due to war casualties, which seems to be the case.)<\/p>\n
1. Growth Rate Calculations. U.S. GDP in 2019 was $21.4 trillion, and U.S. GDP\/person in 2019 was about $65,200, while China\u00e2\u20ac\u2122s GDP in 2019 was $14.1 trillion (converted to US$ at market exchange rates), and China\u00e2\u20ac\u2122s GDP\/person in 2019 was $19,600 (converted to US$ at PPP-adjusted exchange rates). a) Suppose that U.S. real GDP continues […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_joinchat":[]},"categories":[1],"tags":[],"_links":{"self":[{"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/posts\/142243"}],"collection":[{"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/comments?post=142243"}],"version-history":[{"count":0,"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/posts\/142243\/revisions"}],"wp:attachment":[{"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/media?parent=142243"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/categories?post=142243"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/tags?post=142243"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}