Part (c)

Briefly explain the difference between labour and human capital in the production function: Y = A f(K, H, N). Where is human capital incorporated in the Solow-Swan model?(3 marks)

Part (d)

The Solow-Sawn model assumes that all nations have the same per-person production function and that technology is freely available to all countries. Thus, what is the model's explanation for the failure of poor nations to 'catch up'?(2 marks)