Suppose K, L, and a Grow at Constant Rates Given $\bar { g } _ { k }$

question 50

Multiple Choice

Suppose k, l, and A grow at constant rates given by $\bar { g } _ { k }$ $\bar { g } _ { y }$ ,
And $\bar { g } _ { A }$ `
What is the growth rate of y if $y = A k ^ { a } l ^ { 1 - a } , a > 0 ?$

• A) \(g _ { y } = \bar { g } _ { A } + a \left( \bar { g } _ { k } + \bar { g } _ { t } \right)\)
• B) \(g _ { y } = \bar { g } _ { A } + a \bar { g } _ { k } + ( 1 - a ) \bar { g } _ { l }\)
• C) \(g _ { y } = a \bar { g } _ { A } + a \bar { g } _ { k } + a \bar { g } _ { l }\)
• D) \(g _ { y } = \bar { g } _ { A } + \bar { g } _ { l } ^ { a } + \bar { g } _ { l } ^ { ( 1 - a ) }\)
• E) \(g _ { y } = \bar { g } _ { A } \times a \bar { g } _ { k } \times ( 1 - a ) \bar { g } _ { l }\)

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