Suppose labors share of GDP is 70 percent and capitals is 30 percent, total factor productivity is

Question:

Suppose labor’s share of GDP is 70 percent and capital’s is 30 percent, total factor productivity is growing at an annual rate of 2 percent, the labor force is growing at a rate of 1 percent, and the capital stock is growing at a rate of 4 percent. What is the annual growth rate of real GDP?

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