Endogenous growth with addictive habits

B-Tier
Journal: Journal of Mathematical Economics
Year: 2015
Volume: 56
Issue: C
Pages: 15-25

Score contribution per author:

1.005 = (α=2.01 / 2 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

In this paper, we investigate the global dynamics of an endogenous growth model with linear technology and addictive habits. We find feasible parameters’ conditions under which: (a) the resulting equilibrium consumption path is steeper than in a standard AK model; (b) endogenous fluctuations in the form of damping fluctuations around the balanced growth path emerge; (c) the Easterlin’s paradox emerges. The relevance of these results is explained comparing our findings with the results already known in the existing literature.

Technical Details

RePEc Handle
repec:eee:mateco:v:56:y:2015:i:c:p:15-25
Journal Field
Theory
Author Count
2
Added to Database
2026-01-24