Title
Periodic Solutions of the One-sector Growth Model: The Role of Income Effects
Abstract
The discrete-time version of the neoclassical one-sector growth model with elastic labor supply is considered. It is shown that this model can have periodic solutions only if leisure is an inferior good.
Keywords
Optimal growth, Elastic labor supply, Periodic solutions, Inferiority of leisure
JEL Classification
C61, O41
Inquiries
Kazumichi IWASA
Research Institute for Economics and Business Administration,
Kobe University
Rokkodai-cho, Nada-ku, Kobe
657-8501 Japan
Phone: +81-78-803-7036
FAX: +81-78-803-7059
Gerhard SORGER
Department of Economics, University of Vienna, Austria
Research Institute for Economics and Business Administration,
Kobe University
Rokkodai-cho, Nada-ku, Kobe
657-8501 Japan
Phone: +81-78-803-7036
FAX: +81-78-803-7059
Gerhard SORGER
Department of Economics, University of Vienna, Austria