Dynamic resistance of a diode is given by:
\[
r_d = \dfrac{\eta V_T}{I}
\]
Where:
- \( \eta = 1 \) (ideality factor),
- \( V_T = 25\ \text{mV} = 0.025\ \text{V} \) at room temperature,
- Current \( I = \dfrac{1.7 - 0.7}{1000} = \dfrac{1}{1000} = 1\ \text{mA} \)
So:
\[
r_d = \dfrac{0.025}{0.001} = 25\ \Omega
\]