Question: Consider the following model combining the Solow model and the Romer model: = 1 +1 = + = = bar Assume initially that = 0,

Consider the following model combining the Solow model and the Romer model:

= 1

+1 =

+ =

= bar

Assume initially that = 0, 0 = 1 , bar = 0.02, = 0.00001, = 10,000, the depreciation rate = 0.1 , =0, 0 = 500,000.

What is the formula for the growth rate of consumption per person?

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