Consider the standard Solow model. The expression for output per worker and the dynamics of capital per worker are given by the following expression: y=Aka Ak=sy6k where 6 > 0 is the depreciation rate of capital. (a) Using a Solow diagram, what is the effect of an increase in productivity A on steady state capital? (label the axes and mark the initial and the nal steady state level of capital) (b) Find an algebraic expression for the steady state capital per worker. 3