... sf(k) = (n+a+?)k s: savings rate (I=S), n: population growth rate, a: technological progress rate, ?: depreciation rate of capital. In order to ensure that this condition occurs, i.e. a steady state occurs, it is necessary to have the Inada conditions, so that the eventually the level of investment equals the amount of depletion of capital per worker, so that there is no net change overall. The constant returns to scale requirement is also necessary since the equation is in terms of capital per worker and output per worker, and thus the Inada conditions will still hold for the variables in per worker terms if one has constant returns to scale. While the Inada conditions satisfies the condition that eventually there will be a level at which there is not net change in capital per worker, this does not guarantee that there will only be one steady state. In order to ensure ...

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