# Suppose that in Country 1 the growth rates of multi-factor productivity (a), capital (k), labor (h), and

## Question:

(a) Calculate the growth rates of labor productivity, output, and output per capita in Country 1.

(b) If Country 2 is to have the same growth rate of output per capita as Country 1, calculate Country 2’s growth rates of multifactor productivity, labor productivity, and output. (Hint: What must the growth of output be in Country 2 for it to have the same rate of growth in output per capita as Country 1?)

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