Secular stagnation and decline: a simplified model

Alexei Krouglov ()

MPRA Paper from University Library of Munich, Germany

Abstract: Presented is a mathematical model of single-product economy describing a nominal economic growth and a nominal economic decline. Based on the model of economic dynamics, policies handling the gravity of the secular stagnation are furnished. First, transition of the secular stagnation into the secular decline is to be prevented. Second, a two-stage economic policy against the secular stagnation should be entertained. The first stage is to promote a policy of advancing the additional demand for products to counterbalance the additional supply of products by external suppliers. The second stage is to sustain a policy of savings and investments to stipulate an economic growth where the savings and investments are to be committed with a modest acceleration. Two stages of the alleviating economic policy can be executed concurrently.

Keywords: economic growth; business fluctuations; secular stagnation (search for similar items in EconPapers)
JEL-codes: C61 E32 O11 (search for similar items in EconPapers)
Date: 2014-12-18
New Economics Papers: this item is included in nep-mac
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4)

Downloads: (external link)
https://mpra.ub.uni-muenchen.de/60750/1/MPRA_paper_60750.pdf original version (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:pra:mprapa:60750

Access Statistics for this paper

More papers in MPRA Paper from University Library of Munich, Germany Ludwigstraße 33, D-80539 Munich, Germany. Contact information at EDIRC.
Bibliographic data for series maintained by Joachim Winter ().