Disequilibrium Growth Theory
1979-09
Loading...
View/Download File
Persistent link to this item
Statistics
View StatisticsJournal Title
Journal ISSN
Volume Title
Title
Disequilibrium Growth Theory
Authors
Published Date
1979-09
Publisher
Center for Economic Research, Department of Economics, University of Minnesota
Type
Working Paper
Abstract
This paper is an attempt to extend an analysis of disequilibrium
macroeconomics to a problem of capital accumulation. The real wage is
assumed to be sluggish so that the labor market may be in disequilibrium.
The transaction of labor takes place at the minimum of supply and demand.
The interaction between wage adjustment and capital accumulation is
studied. If wage adjustment is slow, and if the saving rate from profits
is larger than that from wages, then an endogenous force of business
cycles switching between unemployment and overemployment regimes can be
demonstrated. An appendix to this paper shows a sufficient condition
for the stability of differential equation systems in a two-dimensional
Euclidean space with switching regimes. This is a mathematical contribution
which bears an independent interest.
Keywords
Description
Related to
Replaces
License
Series/Report Number
Funding information
Isbn identifier
Doi identifier
Previously Published Citation
Ito, T., (1979), "Disequilibrium Growth Theory", Discussion Paper No. 113, Center for Economic Research, Department of Economics, University of Minnesota.
Suggested citation
Ito, Takatoshi. (1979). Disequilibrium Growth Theory. Retrieved from the University Digital Conservancy, https://hdl.handle.net/11299/54999.
Content distributed via the University Digital Conservancy may be subject to additional license and use restrictions applied by the depositor. By using these files, users agree to the Terms of Use. Materials in the UDC may contain content that is disturbing and/or harmful. For more information, please see our statement on harmful content in digital repositories.