Question

For the per capita production function y = k^0.5; what is the level of capital per capita at steady state assuming depreciation (δ) = 0.1 and rate of saving = 0.4? The rate of growth of population is assumed as 0.

• A. 4
• B. 2
• C. 16
• D. \(\sqrt2\)

Answer 1

The Correct Option is C

The correct answer is (C) : 16