Repeat exercise 5, but this time assume the production function is given by Y = ĀK3/4L1/4. That is, assume the exponent on capital is 3/4 rather than 1/3 so that the diminishing returns to capital are less. In part (d), be sure to compare the results here with those in exercise 5, where the capital exponent was 1/3. Why do you think the results are different? Is it reasonable to assume a capital share of 3/4 in the model?
Exercise 5
The table below reports per capita GDP and capital per person in the year 2010 for 10 countries. Your task is to fill in the missing columns of the table.

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In 2005 dollars Relative to the U.S. values (U.S. 1) Capital per Per capita Capital per Per capita Predicted Implied TFF person GDP yto match data United States 124,162 41,365 1.000 1.000 1.000 .000 110,132 37,10 France Hong Kong 136,360 00,668 31299 38,685 South Korea 01,506 26.609 3,966 Indonesia 9,137 Argentina Mexico Kenya 29.39012.340 35,887 1939 1.247 2,125