Suppose that the production function $($in per capita terms$)$ in a variant of the basic

Solow model is given by y $=$ Ak$\mathrm{.}75.$ Capital depreciates at the rate $\backslash$delta $=0\mathrm{.}10$ and the

average saving rate is$,$ s $=\mathrm{.}20.$

a$.$ Derive the Dk equation for this economy algebraically.

b$.$ Solve algebraically for steady state levels of k$,$ y$,$ c and i$.$

c$.$ Show the evolution of per capita capital in the Solow diagram. Label

steady state levels of k$,$ y$,$ c and