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We study the interaction between strategy, heterogeneity and growth in a two-agent model of capital accumulation. Preferences are represented by recursive utility functions with decreasing marginal impatience. The stationary equilibria of…

Optimization and Control · Mathematics 2016-08-26 Luis Alcala , Fernando Tohme , Carlos Dabus

A new method of deriving comparative statics information using generalized compensated derivatives is presented which yields constraint-free semidefiniteness results for any differentiable, constrained optimization problem. More generally,…

Optimization and Control · Mathematics 2013-10-29 M. Hossein Partovi , Michael R. Caputo

We present a model describing the competition between information transmission and decision making in financial markets. The solution of this simple model is recalled, and possible variations discussed. It is shown numerically that despite…

Adaptation and Self-Organizing Systems · Physics 2009-10-31 R. D'Hulst , G. J. Rodgers

This paper presents a numerical model to solve the problem of cash accumulation strategies for products with an unknown future price, like assets. Stock prices are modeled by a discretized Wiener Process, and by the means of ordinary…

Mathematical Finance · Quantitative Finance 2017-11-07 Renko Siebols

This paper gives a constructive treatment of McKenzie's theorem on the existence of general equilibria. While the full theorem does not admit a constructive proof, and hence does not admit a computational realisation, we show that if we…

Logic · Mathematics 2016-11-09 Matthew Hendtlass , Nazar Miheisi

In this article, I present a new approach and a novel model to the study of the life cycle of wages. The key idea is that wage can be thought as remuneration paid for the competency. It is assumed with the approach that there are three…

Physics and Society · Physics 2007-05-23 S. I. Maximov

Statistical models of unobserved heterogeneity are typically formalized as mixtures of simple parametric models and interest naturally focuses on testing for homogeneity versus general mixture alternatives. Many tests of this type can be…

Methodology · Statistics 2016-03-22 Jiaying Gu , Roger Koenker , Stanislav Volgushev

We provide an explicit aggregation in the neoclassical growth model with aggregate shocks and uninsurable employment risk. We show there are two restrictions on the unemployment shock for approximate aggregation to occur. First the…

Optimization and Control · Mathematics 2014-04-21 Karsten Chipeniuk , Nets Hawk Katz , Todd Walker

We introduce a multivariate multidimensional mixed-effects regression model in a finite mixture framework. We relax the usual unidimensionality assumption on the random effects multivariate distribution. Thus, we introduce a…

Methodology · Statistics 2014-10-20 Alessandra Marcelletti , Antonello Maruotti , Giovanni Trovato

One of the most important empirical findings in microeconometrics is the pervasiveness of heterogeneity in economic behaviour (cf. Heckman 2001). This paper shows that cumulative distribution functions and quantiles of the nonparametric…

Econometrics · Economics 2020-05-19 Juan Carlos Escanciano

We propose and compare new global solution algorithms for continuous time heterogeneous agent economies with aggregate shocks. First, we approximate the agent distribution so that equilibrium in the economy can be characterized by a high,…

Optimization and Control · Mathematics 2024-06-21 Zhouzhou Gu , Mathieu Laurière , Sebastian Merkel , Jonathan Payne

Economic growth depends on capital investments and on investments in education and innovation. The model introduced here will specifiy aggregate output as determined by aggregate supply of capital and education investment. After formulating…

Dynamical Systems · Mathematics 2025-12-10 Ferdinand Verhulst

Economic growth is measured as the rate of relative change in gross domestic product (GDP) per capita. Yet, when incomes follow random multiplicative growth, the ensemble-average (GDP per capita) growth rate is higher than the time-average…

General Economics · Economics 2020-09-23 Alexander Adamou , Yonatan Berman , Ole Peters

While there have been a lot of recent developments in the context of Bayesian model selection and variable selection for high dimensional linear models, there is not much work in the presence of change point in literature, unlike the…

Methodology · Statistics 2021-02-26 Nilabja Guha , Jyotishka Datta

Economic systems are similar with physic systems for their large number of individuals and the exist of equilibrium. In this paper, we present a model applying the equilibrium statistical model in economic systems. Consistent with…

General Finance · Quantitative Finance 2015-04-17 Zhiwu Zheng

Capital accumulation has been a major issue in fisheries economics over the last two decades, whereby the interaction of the fish and capital stocks were of particular interest. Because bio-economic systems are intrinsically complex,…

Artificial Intelligence · Computer Science 2007-05-23 K. Eisenack , H. Welsch , J. P. Kropp

In this paper, I develop an integrated approach to collective models and matching models of the marriage market. In the collective framework, both household formation and the intra-household allocation of bargaining power are taken as…

General Economics · Economics 2022-11-15 Simon Weber

General equilibrium is the dominant theoretical framework for economic policy analysis at the level of the whole economy. In practice, general equilibrium treats economies as being always in equilibrium, albeit in a sequence of equilibria…

General Finance · Quantitative Finance 2012-09-11 Eric Kemp-Benedict

This paper presents a model of capital accumulation for a large number of heterogenous producer-consumers in an exchange space in which interactions depend on agents' positions. Each agent is described by his production, consumption, stock…

General Finance · Quantitative Finance 2019-09-26 Pierre Gosselin , Aïleen Lotz , Marc Wambst

By integrating survival analysis, machine learning algorithms, and economic interpretation, this research examines the temporal dynamics associated with attaining a 5 percent rise in purchasing power parity-adjusted GDP per capita over a…

General Economics · Economics 2024-04-09 Diego Vallarino
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