which simplifies to Substituting for (t) = SHY (t) gives Finally, substituting for (t) we get the following dynamic equation for human capital per unit of effective labor, (c) Solve for the Balanced-Growth-Path expressions for k(t), h(t), and (t). Denot these expressions as k', , and respectively. Solution: Set k (t) = O and h (t) = O, in the last two equations and solve them simultaneously for k* and h* to get (s Thus