Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
5099283 | Journal of Economic Dynamics and Control | 2007 | 18 Pages |
Abstract
This article reconsiders the Hicksian multiplier - accelerator model with 'floor' and 'ceiling'. The new thrust is that these constraints are tied to the actual stock of capital, the floor to the depreciation on this stock, the ceiling to capital as a limiting production factor according to the fixed proportions technology that also underlies the principle of acceleration. For capital formation just the Hicksian investment theory is used. The result is one unified model creating economic growth and growth rate cycles.
Keywords
Related Topics
Physical Sciences and Engineering
Mathematics
Control and Optimization
Authors
Tönu Puu,