What does the steady state capital per worker represent?

The steady state capital per worker represents a fundamental concept in macroeconomic growth theory. It reflects a situation where the amount of capital per worker in the economy remains constant over time. This stability occurs when the amount of capital being added through investments equals the amount of capital that is being lost due to depreciation and other factors.

When the economy reaches this steady state, the growth rate of capital per worker is zero, meaning changes in the stock of capital are balanced out by depreciation. Thus, the idea that steady state capital per worker is the point at which changing capital equals zero is accurate. It signifies a long-term equilibrium in the capital accumulation process within the economy, fundamental for understanding how economies grow and develop over time.

The other options do not align with the definitions associated with steady state capital per worker. For instance, while optimal levels of government intervention and maximum production can be affected by capital accumulation, they do not describe what steady state capital per worker signifies. Similarly, average income per capita, while related, does not directly define this steady state concept, which is much more focused on capital dynamics rather than income distribution.