RT info:eu-repo/semantics/article
T1 A Note on the Stability of Fully-Endogenous Growth with Increasing Returns and Exhaustible Resources
A1 Cabo García, Francisco José
A1 Martín Herrán, Guiomar
A1 Martínez García, María Pilar
AB We introduce an exhaustible natural resource as an essential input in a general R&D-basedendogenous growth model, which makes increasing returns to scale to man-made inputs com-patible with non-explosive sustained growth. The instability problem usually associated withincreasing returns is overcome thanks to the existence of imperfect markets in a decentralizedeconomy. The economy comprises two separate sectors:  nal output and R&D, both directlyor indirectly dependent on the natural resource. Without the requirement of any knife-edgeassumption, we prove that growth is fully endogenous and saddle-path stable.
YR 2016
FD 2016
LK http://uvadoc.uva.es/handle/10324/27725
UL http://uvadoc.uva.es/handle/10324/27725
LA eng
NO Macroeconomic Dynamics, 20, 819-831, 2016.
NO Producción Científica
DS UVaDOC
RD 23-nov-2024