Hey just a quick question - can anyone confirm whether or not the marginal product of capital is the same under neoclassical and endogenous growth models, and why or why not?
Thank you!
What is the MPK formula?
delta y / delta k
Yes, they’re the same.
The difference is whether technological improvement is intrinsic to the economy (endogenous) or extrinsic to the economy (classical and neoclassical).