Factor sharesfor a neoclassical production function show, Ask an Expert

Economics

Factor shares

For a neoclassical production function, show that each factor of production earns its marginal product. Show that if owners of capital save all their income and workers consume all their income, the economy reaches the golden rule of capital accumulation. Explain the results.

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Microeconomics, Economics

Category:- Microeconomics
Reference No.:- M91923001

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