Economic growth and business cycles in a two-sector overlapping-generations model

Auteurs

• Olaf Schmitz

Paramètres

• Manuels
• Manuels universitaires

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The overlapping-generations (OLG) model has increasingly been utilized to address significant economic issues, particularly regarding public social security system reforms. The one-sector OLG model, which assumes a single production unit and a homogeneous good, offers mathematical simplicity but limits the observation of various economic phenomena, excluding endogenous growth and business cycle fluctuations. This monograph expands the traditional framework by introducing two distinct commodities: a consumption good and a capital/investment good for wealth transfer. It navigates the mathematical complexities involved and demonstrates that even standard production technologies and preferences can lead to endogenous economic growth and intricate growth patterns. Additionally, it explores different forecasting behaviors and their implications for economic growth and development. The two-sector OLG framework enhances the understanding of various economic issues, including the “asset-market meltdown hypothesis,” which examines the future effects of the baby-boom generation from the 1950s and 1960s on asset markets. This work aims to provide deeper insights into the dynamics of economic growth and the interplay of generations within the economy.

Achat du livre

• Année de publication: 2008
• Reliure: (souple)