TY - JOUR
T1 - Monotonicity and continuity of the critical capital stock in the Dechert-Nishimura model
AU - Akao, Ken Ichi
AU - Kamihigashi, Takashi
AU - Nishimura, Kazuo
PY - 2011/12
Y1 - 2011/12
N2 - We show that the critical capital stock of the Dechert and Nishimura (1983) model is a decreasing and continuous function of the discount factor. We also show that the critical capital stock merges with a nonzero steady state as the discount factor decreases to a certain boundary value, and that the critical capital stock converges to the minimum sustainable capital stock as the discount factor increases to another boundary value.
AB - We show that the critical capital stock of the Dechert and Nishimura (1983) model is a decreasing and continuous function of the discount factor. We also show that the critical capital stock merges with a nonzero steady state as the discount factor decreases to a certain boundary value, and that the critical capital stock converges to the minimum sustainable capital stock as the discount factor increases to another boundary value.
UR - http://www.scopus.com/inward/record.url?scp=84866286007&partnerID=8YFLogxK
UR - http://www.scopus.com/inward/citedby.url?scp=84866286007&partnerID=8YFLogxK
U2 - 10.1016/j.jmateco.2011.08.005
DO - 10.1016/j.jmateco.2011.08.005
M3 - Article
AN - SCOPUS:84866286007
SN - 0304-4068
VL - 47
SP - 677
EP - 682
JO - Journal of Mathematical Economics
JF - Journal of Mathematical Economics
IS - 6
ER -