Abstract

AbstractThe Kaldor model describes the dynamics of economic growth over time. Many works showed that a large variety of qualitative dynamics can be produced depending on the economic assumptions. This work provides conditions to mark boundaries during boom and bust cycles, investigating how saving behaviors of workers and shareholders and elasticity of substitution between capital and labor influence the growth dynamics of non‐developed, developing and developed countries considering general and specific technologies of production. The results obtained can be used by policy‐makers to increase the lower level an economy can reach during boom and bust periods and reduce fluctuations.

Talk to us

Join us for a 30 min session where you can share your feedback and ask us any queries you have

Schedule a call

Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.