Output and capital per worker grow at the same constant, positive rate in BGP of model. In long run model reaches BGP. 2.An increase in saving and investment raises the capital stock and thus raises the full-employment national income and product. Figure: Determination of the steady-state capital-labor ratio in the Solow model without population growth and technological change. Daron Acemoglu (MIT). Write consumption per worker as a function of the capital stock in steady-state. Enhance your law practice, build community, and promote justice with the American Immigration Lawyers Association. Become A Member Today.