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We perform econometric tests on a modified Goodwin model where the capital accumulation rate is constant but not necessarily equal to one as in the original model (Goodwin, 1967). In addition to this modification, we find that addressing…

Econometrics · Economics 2018-03-06 Matheus R. Grasselli , Aditya Maheshwari

This paper empirically assesses predictions of Goodwin's model of cyclical growth regarding demand and distributive regimes when integrating the real and financial sectors. In addition, it evaluates how financial and employment shocks…

General Economics · Economics 2024-01-15 Marcio Santetti

There is an interplay between models, specified by variables and equations, and their connections to one another. This dichotomy should be reflected in the abstract as well. Without referring to the models directly -- only that a model…

Algebraic Topology · Mathematics 2016-11-04 Michael Robinson

Goodwin's model is a cornerstone in the study of dynamical systems within macroeconomics, explaining the interaction between employment ratio and wage share in a closed economy. Analogous to predator-prey dynamics in mathematical economics,…

Dynamical Systems · Mathematics 2024-11-26 Eysan Sans , Melisa Akdemir , Ayse Tiryakioglu , Ayse Peker-Dobie , Cihangir Ozemir

As data grows in size and complexity, finding frameworks which aid in interpretation and analysis has become critical. This is particularly true when data comes from complex systems where extensive structure is available, but must be drawn…

Machine Learning · Computer Science 2021-05-24 Henry Kvinge , Brett Jefferson , Cliff Joslyn , Emilie Purvine

Linear stochastic models and discretized kinetic theory are two complementary analytical techniques used for the investigation of complex systems of economic interactions. The former employ Langevin equations, with an emphasis on stock…

General Finance · Quantitative Finance 2017-02-10 M. L. Bertotti , A. K. Chattopadhyay , G. Modanese

In this paper, I endeavour to construct a new model, by extending the classic exogenous economic growth model by including a measurement which tries to explain and quantify the size of technological innovation ( A ) endogenously. I do not…

Econometrics · Economics 2018-05-03 Murad Kasim

We analyze a three-dimensional Keen--Goodwin model that couples wage--employment dynamics with Minsky-style private debt. At zero real interest the interior equilibrium is nonhyperbolic and organized by a two-dimensional center manifold…

Dynamical Systems · Mathematics 2026-04-01 Roberto Albarrán-García , Martha Alvarez-Ramírez , Carlos García-Azpeitia

The expansion of global production networks has raised many important questions about the interdependence among countries and how future changes in the world economy are likely to affect the countries' positioning in global value chains. We…

General Economics · Economics 2020-05-20 Olivera Kostoska , Viktor Stojkoski , Ljupco Kocarev

We analyze export data aggregated at world global level of 219 classes of products over a period of 39 years. Our main goal is to set up a dynamical model to identify and quantify plausible mechanisms by which the evolutions of the various…

Economics · Quantitative Finance 2016-09-20 Michele Caraglio , Fulvio Baldovin , Attilio L. Stella

We consider a simple variant of the von Neumann model of an expanding economy, in which multiple producers make goods according to their production function. The players trade their goods at the market and then use the bundles acquired for…

Computer Science and Game Theory · Computer Science 2019-09-27 Simina Brânzei , Ruta Mehta , Noam Nisan

In economic systems, the mix of products that countries make or export has been shown to be a strong leading indicator of economic growth. Hence, methods to characterize and predict the structure of the network connecting countries to the…

Physics and Society · Physics 2015-06-04 Sebastian Bustos , Charles Gomez , Ricardo Hausmann , Cesar A. Hidalgo

This paper studies a discrete-time version of the Lucas-Uzawa endogenous growth model with physical and human capital in the presence of externalities. Existence of an optimal equilibrium is proved using tools from dynamic programming with…

Theoretical Economics · Economics 2025-02-04 Luis Alcala

All economies require physical resource consumption to grow and maintain their structure. The modern economy is additionally characterized by private debt. The Human and Resources with MONEY (HARMONEY) economic growth model links these…

Theoretical Economics · Economics 2021-06-07 Carey W. King

This paper develops a new model of business cycles. The model is economical in that it is solved with an aggregate demand-aggregate supply diagram, and the effects of shocks and policies are obtained by comparative statics. The model builds…

Theoretical Economics · Economics 2022-03-22 Pascal Michaillat , Emmanuel Saez

One of the themes that have been approached more and more within the specialised literature is being represented by economic cycles. The analysis of these is very useful in the long term predictions, in finding solutions for the economic…

General Economics · Economics 2025-01-15 Cristina Tanasescu , Amelia Bucur , Camelia Oprean-Stan

The large-scale organization of the world economies is exhibiting increasingly levels of local heterogeneity and global interdependency. Understanding the relation between local and global features calls for analytical tools able to uncover…

General Finance · Quantitative Finance 2008-12-10 M. Angeles Serrano , Marian Boguna , Alessandro Vespignani

We conduct a sensitivity analysis of a new type of integrated climate-economic model recently proposed in the literature, where the core economic component is based on the Goodwin-Keen dynamics instead of a neoclassical growth model.…

General Economics · Economics 2021-03-11 Benjamin M. Bolker , Matheus R. Grasselli , Emma Holmes

This paper suggests that business cycles may be a manifestation of coupled real economy and stock market dynamics and describes a mechanism that can generate economic fluctuations consistent with observed business cycles. To this end, we…

General Finance · Quantitative Finance 2019-09-27 Dimitri Kroujiline , Maxim Gusev , Dmitry Ushanov , Sergey V. Sharov , Boris Govorkov

This paper extends Xing's (2023abcd) optimal growth models of catching-up economies from the case of production function switching to that of economic structure switching and argues how a country develops its economy by endogenous…

Theoretical Economics · Economics 2023-09-13 Justin Y. F. Lin , Haipeng Xing
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