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In the Solow Model, the Equation of Capital Accumulation Is ΔKt=ItdˉKt\Delta K _ { t } = I _ { t } - \bar { d } K _ { t }

Question 85

Multiple Choice

In the Solow model, the equation of capital accumulation is:


A) ΔKt=ItdˉKt\Delta K _ { t } = I _ { t } - \bar { d } K _ { t }
B) Kt+1=Kt+ItdˉKtK _ { t + 1 } = K _ { t } + I _ { t } - \bar { d } K _ { t }
C) Kt+1=Kt+It+dˉKtK _ { t + 1 } = K _ { t } + I _ { t } + \bar { d } K _ { t }
D) Kt+1=Kt+dKtItK _ { t + 1 } = K _ { t } + d K _ { t } - I _ { t }
E) Kt+It=Kt+1K _ { t } + I _ { t } = K _ { t + 1 }

Correct Answer:

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