5 Consider a two-period human capital investment framework.Suppose that the link between the amount of investment into schooling (we denote this amount bys) and earnings, w, is governed by w (s) = 9 · si .If the interest rate is 10% (r = 0.10), what is the optimal level of s? Calculate and enter it in the boxbelow. Round your answer to two decimal spaces.Note: the first derivative of a function f (æ) = a · a is f' (x) = ab · x-1.Consider a two-period human capital investment framework.Suppose a worker's earnings are governed by w(s) = 8-In(1 + s) and r = 0.5. Given the unemploymentrate with 7 of 16 workers unemployed, what is the optimal level of schooling investment? Calculateand enter it in the box below. Round your answer to two decimal spaces.Note: the first derivative of a function f (x) = a · In(1 + æ) is f' (x) = a ·1+r

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Consider a two-period human capital investment framework. Suppose that the link between the amount of investment into schooling (we denote this amount by s) and earnings, w, is governed by w (8) = 9- si . If the interest rate is 10% (r = 0.10), what is the optimal level of s? Calculate and enter it in the box below. Round your answer to two decimal spaces. Note: the first derivative of a function f (x) = a · a is f' (x) = ab - a-1 %3D

Consider a two-period human capital investment framework. Suppose that the link between the amount of investment into schooling (we denote this amount by s) and earnings, w, is governed by w (8) = 9- si . If the interest rate is 10% (r = 0.10), what is the optimal level of s? Calculate and enter it in the box below. Round your answer to two decimal spaces. Note: the first derivative of a function f (x) = a · a is f' (x) = ab - a-1 %3D

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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