Suppose xt grows at 2% per year and yt grows at 5% per year, with x0 =

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Suppose xt grows at 2% per year and yt grows at 5% per year, with x0 = 2 and y0 = 1. Calculate the numerical values of zt for t = 0, t = 1, t = 2, t = 10, t = 17, and t = 35 for the following cases:
(a) z = x
(b) z = y
(c) z = x3/4y1/4
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Macroeconomics

ISBN: 978-0393923902

3rd edition

Authors: Charles I. Jones

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