2. If the production function is given by YFA(KL.)0.5 where Y is the output, A is the technology, L refers to the labor stock, and K is the capital stock. Suppose that the saving rate (s) equals 0.6...

Extracted text: 2. If the production function is given by YFA(KL.)0.5 where Y is the output, A is the technology, L refers to the labor stock, and K is the capital stock. Suppose that the saving rate (s) equals 0.6 and the depreciation rate (d) is 0.3 a. Write the output and capital accumulation equations in terms of the capital per worker? b. Find the steady state capital, output, investment, and consumption? c. What would happen to the steady state capital if the saving rate increased to 0.8 and the depreciation rate increases to 0.4?