In the Solow Model, Investment, I_t, as a Function of Saving

question 70

Multiple Choice

In the Solow model, investment, I_t, as a function of saving, $\bar { s }$ , and output, $Y _ { t } = F \left( K _ { t } , \bar { L } \right)$
, is written as:

• A) \(I _ { t } = \bar { s } / \left[ F \left( K _ { t } , \bar { L } \right) \right]\)
• B) \(l _ { t } = \bar { s } F \left( K _ { t } , \bar { L } \right)\)
• C) \(I _ { t } = ( 1 - \bar { s } ) [ F ( K , \bar { L } ) ]\)
• D) \(I _ { t } = \bar { s } - F \left( K _ { t } , \bar { L } \right)\)
• E) \(I _ { t } = \bar { s } + F \left( K _ { t } , \bar { L } \right)\)

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