From 716df5d9f1e1460b195cb3a5369631ed3ad35f45 Mon Sep 17 00:00:00 2001
From: Longye Tian <133612246+longye-tian@users.noreply.github.com>
Date: Tue, 23 Jul 2024 20:55:29 +1000
Subject: [PATCH] [scalar_dynam] add explanation to parameters and add
 explanation of k (#529)

* add explanation to parameters and add explanation of k

* update
---
 lectures/scalar_dynam.md | 7 ++++---
 1 file changed, 4 insertions(+), 3 deletions(-)

diff --git a/lectures/scalar_dynam.md b/lectures/scalar_dynam.md
index 18c8568c..5926a3f6 100644
--- a/lectures/scalar_dynam.md
+++ b/lectures/scalar_dynam.md
@@ -220,11 +220,12 @@ For example, in a later lecture {doc}`solow`, we will study the Solow-Swan growt
 ```{math}
 :label: solow_lom2
 
-k_{t+1} = s z k_t^{\alpha} + (1 - \delta) k_t
+k_{t+1} = s A k_t^{\alpha} + (1 - \delta) k_t
 ```
 
-Here $k$ is the per capita capital stock and $s, z, \alpha, \delta$ are positive
-parameters with $0 < \alpha, \delta < 1$.
+Here $k=K/L$ is the per capita capital stock, $s$ is the saving rate, $A$ is the total factor productivity, $\alpha$ is the capital share, and $\delta$ is the depreciation rate. 
+
+All these parameter are positive and $0 < \alpha, \delta < 1$.
 
 If you try to iterate like we did in {eq}`sdslinmodpath`, you will find that
 the algebra gets messy quickly.