Unifying Time-to-build theory

Bambi, M.; Gori, Franco

Abstract

Discrete-time and continuous-time models with time to build do not possess the same dimension. In this paper we address the dimensionality issue by revising the way time to build is traditionally measured when transforming the economic dynamics from discrete to continuous time. We propose our new procedure as an alternative approach which allows for a unifying theory of the two classes of economic growth models. Interestingly enough, discrete-time models admit a change in stability for a value of the time-to-build parameter where their continuous counterpart admits an Hopf bifurcation.

Citation

Bambi, M., & Gori, F. (2014). Unifying Time-to-build theory. Macroeconomic Dynamics, 18(08), 1713-1725. https://doi.org/10.1017/s1365100513000102

• Journal Article Type: Article
• Online Publication Date: Jun 4, 2013
• Publication Date: Dec 1, 2014
• Deposit Date: Aug 2, 2018
• Publicly Available Date: Sep 24, 2018
• Journal: Macroeconomic Dynamics
• Print ISSN: 1365-1005
• Electronic ISSN: 1469-8056
• Publisher: Cambridge University Press
• Peer Reviewed: Peer Reviewed
• Volume: 18
• Issue: 08
• Pages: 1713-1725
• DOI: https://doi.org/10.1017/s1365100513000102
• Public URL: https://durham-repository.worktribe.com/output/1324700