Article ID Journal Published Year Pages File Type
5061312 Economics Letters 2010 5 Pages PDF
Abstract

We show that in the 2-sector RSS model, there is no optimal program for any initial stock when the felicity function is linear and the marginal rate ξ equals unity. This settles a conjecture, unresolved since 2005.

Keywords
Related Topics
Social Sciences and Humanities Economics, Econometrics and Finance Economics and Econometrics
Preview
On the non-existence of optimal programs in the Robinson-Solow-Srinivasan (RSS) model
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