Path Dependence in Neoclassical Economic Growth Theory

Behavioral Growth Theory: A Neoclassical Approach

How do material norms and aspirations on which individual judgments of well-being are based affect the growth dynamics of an economy? Do economies that weigh very highly of these norms grow differently from those economies that values these norms differently? This paper attempts to answer these questions by building a growth model, where individual not only care for its consumption but also eva...

Natural Resources, Economic Growth and Sustainability: a Neoclassical Perspective

Graduate Macro Theory II: Notes on Neoclassical Growth Model

The economy is populated by a large number of infinitely lived agents. These agents are identical, and so we can effectively treat them as one. These agents consume, save in physical capital, and supply one unit of labor each period inelastically. Time runs from t = 0, . . . ,∞. The population at each point in time is Nt = (1+n) N0, with N0 given. Households get flow utility from consumption, C...

Neoclassical Growth Model

4 Quantitative Analysis 7 4.1 Steady state . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 4.2 Optimal saving rate at steady state . . . . . . . . . . . . . . . . . . . . . . . . . . 8 4.3 Balanced growth path . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 4.4 Calibration . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ....

Stochastic Neoclassical Growth Model