The table below gives the growth statistics for the USA in the last 15 years. Growth Rate (% per year) Output per worker hour 1.23% Capital Stock per worker 0.83% Labor Supply 0.44% Labor share in earnings 0.60 Capital Share in Earnings 0.40

The table below gives the growth statistics for the USA in the last 15 years. Growth Rate (% per year) Output per worker hour 1.23% Capital Stock per worker 0.83% Labor Supply 0.44% Labor share in earnings 0.60 Capital Share in Earnings 0.40

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

The table below gives the growth statistics for the USA in the last 15 years.
Growth Rate
(% per year)
Output per worker hour
1.23%
Capital Stock per worker
0.83%
Labor Supply
0.44%
Labor share in earnings
0.60
Capital Share in Earnings
0.40

(4) If the return on capital is constant, what was the expected growth rate of real wages (in
percent)? [ Select ]

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