<p>In a textbook application I try to apply Solow model to the US economy. What will be a ballpark estimate of the saving rate and the depreciation rate? </p>

<p><strong>Edit:</strong> To follow up, assume Cobb-Douglas with labor share 0.3. Assume Y=16916*10^9 and K-22541*10^9 and L=151.4*10^6. Then A=3*10^3. Then s-0.3 and delta-0.05. Does this seem make sense? </p>

CC BY-SA 4.0
2018-05-13T20:03:45.653Z
You tell us, you are the one applying it!
Giskard
CC BY-SA 4.0
2018-05-13T21:31:17.203Z
Penn World Tables has savings and depreciation rates
Pedro Cavalcante
<solow>
Trying to apply Solow model to the US econmy
180513
# Trying to apply Solow model to the US econmy

(Asked by: username_0 on 2018-05-13)

In a textbook application I try to apply Solow model to the US economy. What will be a ballpark estimate of the saving rate and the depreciation rate?

**Edit:** To follow up, assume Cobb-Douglas with labor share 0.3. Assume Y=16916\*10^9 and K-22541\*10^9 and L=151.4\*10^6. Then A=3\*10^3. Then s-0.3 and delta-0.05. Does this seem make sense?

**Tags:** solow

> **Comments:**
> **username_1**: You tell us, you are the one applying it!  
> **username_2**: Penn World Tables has savings and depreciation rates  

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## 0 answers

