scholarly journals A Support Price Theorem for the Continuous Time Model of Capital Accumulation

Econometrica ◽  
1982 ◽  
Vol 50 (2) ◽  
pp. 427 ◽  
Author(s):  
Shin-Ichi Takekuma
Keyword(s):  
Continuous Time ◽  
Capital Accumulation ◽  
Continuous Time Model ◽  
Time Model ◽  
Support Price

scholarly journals On the existence and sensitivity analysis of optimal catital accumulation paths in continuous time, infinite horizon models

1989 ◽  
Vol 30 (4) ◽  
pp. 450-459 ◽  
Author(s):  
E. Flytzanis ◽  
Nikolaos S. Papageorgiou
Keyword(s):  
Sensitivity Analysis ◽  
Continuous Time ◽  
Capital Stock ◽  
Capital Accumulation ◽  
Infinite Horizon ◽  
Continuous Time Model ◽  
Time Model ◽  
Initial Capital ◽  
Optimal Paths ◽  
The Value Function

AbstractIn this paper we consider an infinite horizon, continuous time model of economic growth. We prove two theorems; one on the existence of optimal paths of capital accumulation and the other on the dependence of the set of optimal paths on the initial capital stock (sensitivity analysis). In the existence result the underlying technology set is nonconvex and only its “investment’ slices are convex. The proof is direct, without any use of necessary conditions. In the sensitivity analysis, the technology set is convex and so we have that the value function is concave. Then having that, we show that the set of optimal paths is an upper semicaontinuous multifunction of the initial capital stock.

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