Figure 2: Dynamics of τ and k when σ < 1
The sign of this derivative depends on σ. If σ < 1, then the derivative is negative. It is
positive otherwise.
Hence, the function (24) is increasing in kt and the function (25) is decreasing in kt
if σ < 1 and increasing if σ > 1. Knowing these two functions, we can proceed to a
graphical exposition with a few examples. These examples will illustrate the dynamics of
the economy depending on different types of dictatorships.
3.3.1 Dynamics when σ < 1
If σ < 1, then the function (24) is increasing and the function (25) is decreasing. They
intersect only once at the interior steady state. This steady state is a saddle point.
24
More intriguing information
1. The name is absent2. Knowledge and Learning in Complex Urban Renewal Projects; Towards a Process Design
3. Ventas callejeras y espacio público: efectos sobre el comercio de Bogotá
4. CAPACITAÇÃO GERENCIAL DE AGRICULTORES FAMILIARES: UMA PROPOSTA METODOLÓGICA DE EXTENSÃO RURAL
5. Accurate and robust image superresolution by neural processing of local image representations
6. Stakeholder Activism, Managerial Entrenchment, and the Congruence of Interests between Shareholders and Stakeholders
7. Testing for One-Factor Models versus Stochastic Volatility Models
8. Multiple Arrhythmogenic Substrate for Tachycardia in a
9. DISCUSSION: ASSESSING STRUCTURAL CHANGE IN THE DEMAND FOR FOOD COMMODITIES
10. The name is absent