 Long cycles in a modified Solow growth modelFátima Fabião (), João Teixeira () and Maria Borges () Journal of Economic Interaction and Coordination, 2015, vol. 10, issue 2, 247-263 Abstract: In this paper we analyze the dynamics of the Solow growth model with a generic production function. For this purpose, we consider that the labor growth rate, $$L^{\prime }(t)/L(t)$$ L ′ ( t ) / L ( t ) , is a $$T$$ T -periodic function, for a fixed positive real number $$T$$ T . We obtain the closed form solutions for the fundamental Solow equation with the new description of $$L(t)$$ L ( t ) , using a Cobb–Douglas production function. Using notions of the qualitative theory of ordinary differential equations and nonlinear functional analysis, we prove that there exists a $$T$$ T -periodic solution for the Solow equation with a generic production function. From the macroeconomic point of view this is a refined Solow model, which exhibits a smooth cyclic behavior in the economy with long period and relatively small amplitude. Copyright Springer-Verlag Berlin Heidelberg 2015 Keywords: Solow growth model; Periodic solutions; Long cycles (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:spr:jeicoo:v:10:y:2015:i:2:p:247-263 Ordering information: This journal article can be ordered from DOI: 10.1007/s11403-013-0122-0 Access Statistics for this article Journal of Economic Interaction and Coordination is currently edited by A. Namatame, Thomas Lux and Shu-Heng Chen More articles in Journal of Economic Interaction and Coordination from Springer, Society for Economic Science with Heterogeneous Interacting Agents Contact information at EDIRC. |
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