Vintage capital and the dynamics of the AK model

• 成果类型: Article
• 署名作者: Boucekkine, R; Licandro, O; Puch, LA; del Rio, F
• 署名单位: European University Institute; Universite Catholique Louvain; Universite Catholique Louvain; Complutense University of Madrid; Universidade de Santiago de Compostela
• 刊物名称: JOURNAL OF ECONOMIC THEORY
• ISSN/ISSBN: 0022-0531
• DOI: 10.1016/j.jet.2004.02.006
• 发表日期: 2005
• 页码: 39-72
• 关键词: endogenous growth; vintage capital; AK model; difference-differential equations

摘要

This paper analyzes the equilibrium dynamics of an AK-type endogenous growth model with vintage capital. The inclusion of vintage capital leads to oscillatory dynamics governed by replacement echoes, which additionally influence the intercept of the balanced growth path. These features, which are in sharp contrast to those from the standard AK model, can contribute to explaining the short-run deviations observed between investment and growth rates time series. To characterize the optimal solutions of the model we develop analytical and numerical methods that should be of interest for the general resolution of endogenous growth models with vintage capital. (C) 2004 Elsevier Inc. All rights reserved.