Stochastic shocks in a two-sector Solow model
type: Item
instance of: scholarly article
title: Stochastic shocks in a two-sector Solow model
zbMATH Open document ID: 1254.93105
DOI: 10.1504/IJMMNO.2012.049604
author: Simone Marsiglio
published in: International Journal of Mathematical Modelling and Numerical Optimisation
publication date: 2013-01-28T00:00:00Z
review text: Summary: We study a stochastic, discrete-time, two-sector growth model à la Solow (1956) characterised by perpetual growth. Assuming that exogenous i.i.d. shocks hit the physical production sector, we show that the capital dynamics can be converted, through an appropriate log-transformation, into an iterated function system converging to an invariant distribution supported on a Cantor set.
Mathematics Subject Classification ID: 93C55
Mathematics Subject Classification ID: 91B62
Mathematics Subject Classification ID: 37D45
zbMATH DE Number: 6132020
zbMATH Keywords: fractals
zbMATH Keywords: iterated function system
zbMATH Keywords: Cantor set
zbMATH Keywords: stochastic growth
zbMATH Keywords: stochastic shocks
zbMATH Keywords: two-sector Solow model
zbMATH Keywords: capital dynamics
zbMATH Keywords: invariant distribution
MaRDI profile type: Publication
description: scientific article; zbMATH DE number 6132020