Gavin, William T. (contributor); … - 2004 - [Elektronische Ressource]
)
αα −
==
1
)(),(
ttttttttt
NxKzNxKFzY ,
where z
t
is a stationary technology shock and x
t
is an index of labor …-augmenting technical
progress that increases at a deterministic (gross) growth rate
)1/(1 α
γ
−
x
. The implied growth rate for
output …, capital, and consumption, γ
x
, defines a steady-state growth path for the real economy.
The firm sells output at price P
t …