Dynamic analysis in an economic growth model with CES utility function and delay

2020 ◽  
Author(s):  
Ramona Ioana Oprea ◽  
Pater Flavius ◽  
Adina Juratoni ◽  
Olivia Bundau
Keyword(s):  
Economic Growth ◽  
Dynamic Analysis ◽  
Utility Function ◽  
Growth Model ◽  
Economic Growth Model ◽  
Ces Utility Function

scholarly journals A small open economic growth model with imported goods, tourism, and terms of trade

2018 ◽  
pp. 65-86
Author(s):  
Wei-Bin Zhang
Keyword(s):  
Economic Growth ◽  
Dynamic Analysis ◽  
Growth Model ◽  
Open Economy ◽  
Service Sector ◽  
Small Open Economy ◽  
Terms Of Trade ◽  
Nonlinear Dynamic Model ◽  
Economic Growth Model ◽  
Tourism Economy

This paper constructs an economic growth model of a small open economy with tourism and imported goods in a perfectly competitive economy. The study focuses on the effects of changes in terms of trade, with a preference for imported goods, on the dynamic paths of trade balance and economic growth. The basic framework for modelling a national economy is based on the Solow-Uzawa neoclassical growth model with Zhang’s alternative approach to household behaviour. We build a nonlinear dynamic model with interdependence between economic growth, economic structure, tourism, prices, wealth and income. We provide a computational process to follow the motion of the economic system. Simulation is used to carry out a comparative dynamic analysis of the terms of trade, the propensity to consume imported goods, the rate of interest, the price elasticity of tourism, and the total productivity of the service sector. The comparative dynamic analysis provides some insights into the complexity of the tourism economy.

scholarly journals A Discrete Two-Sector Economic Growth Model

2007 ◽  
Vol 2007 ◽  
pp. 1-13
Author(s):  
Wei-Bin Zhang
Keyword(s):  
Economic Growth ◽  
Economic Theory ◽  
Utility Function ◽  
Growth Model ◽  
Stable Equilibrium ◽  
Production Functions ◽  
Economic Growth Model

This paper studies a key model in economic theory—the two-sector growth model—with an alternative utility function. We show that the system has a unique stable equilibrium when the production functions take on the Cobb-Douglas form. We also simulate the model and demonstrate effects of changes in some parameters.

scholarly journals A Discrete Heterogeneous-Group Economic Growth Model with Endogenous Leisure Time

2009 ◽  
Vol 2009 ◽  
pp. 1-17
Author(s):  
Wei-Bin Zhang
Keyword(s):  
Economic Growth ◽  
Human Capital ◽  
Income Distribution ◽  
Growth Model ◽  
Time Allocation ◽  
Capital Accumulation ◽  
Economic Growth Model ◽  
National Economic ◽  
The Rich ◽  
Main Engine

This paper proposes a one-sector multigroup growth model with endogenous labor supply in discrete time. Proposing an alternative approach to behavior of households, we examine the dynamics of wealth and income distribution in a competitive economy with capital accumulation as the main engine of economic growth. We show how human capital levels, preferences, and labor force of heterogeneous households determine the national economic growth, wealth, and income distribution and time allocation of the groups. By simulation we demonstrate, for instance, that in the three-group economy when the rich group's human capital is improved, all the groups will economically benefit, and the leisure times of all the groups are reduced but when any other group's human capital is improved, the group will economically benefit, the other two groups economically lose, and the leisure times of all the groups are increased.

scholarly journals The Time Delays’ Effects on the Qualitative Behavior of an Economic Growth Model

2013 ◽  
Vol 2013 ◽  
pp. 1-10 ◽  
Author(s):  
Carlo Bianca ◽  
Massimiliano Ferrara ◽  
Luca Guerrini
Keyword(s):  
Economic Growth ◽  
Growth Model ◽  
Time Delays ◽  
Sufficient Conditions ◽  
Qualitative Behavior ◽  
Solow Model ◽  
Normal Form Theory ◽  
Economic Growth Model ◽  
Form Theory ◽  
The Stability

A further generalization of an economic growth model is the main topic of this paper. The paper specifically analyzes the effects on the asymptotic dynamics of the Solow model when two time delays are inserted: the time employed in order that the capital is used for production and the necessary time so that the capital is depreciated. The existence of a unique nontrivial positive steady state of the generalized model is proved and sufficient conditions for the asymptotic stability are established. Moreover, the existence of a Hopf bifurcation is proved and, by using the normal form theory and center manifold argument, the explicit formulas which determine the stability, direction, and period of bifurcating periodic solutions are obtained. Finally, numerical simulations are performed for supporting the analytical results.

scholarly journals Generalizations of the Lagrange mean value theorem and applications

Filomat ◽  
2013 ◽  
Vol 27 (4) ◽  
pp. 515-528 ◽  
Author(s):  
Miodrag Mateljevic ◽  
Marek Svetlik ◽  
Miloljub Albijanic ◽  
Nebojsa Savic
Keyword(s):  
Economic Growth ◽  
Growth Model ◽  
Arbitrary Function ◽  
Mean Value ◽  
Point Of View ◽  
Neoclassical Economic ◽  
Mean Value Theorem ◽  
Mathematical Point ◽  
Economic Growth Model

In this paper we give a generalization of the Lagrange mean value theorem via lower and upper derivative, as well as appropriate criteria of monotonicity and convexity for arbitrary function f : (a, b) ( R. Some applications to the neoclassical economic growth model are given (from mathematical point of view).

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