Open AccessTechnology progress implementation based on a modified version of R.M. Solow economic growth model: with production s-curve consisting of n-steps
Author(s) -
Alexey Lopatin
Publication year - 2021
Publication title -
sistemnì doslìdžennâ ta ìnformacìjnì tehnologìï
Language(s) - English
Resource type - Journals
eISSN - 2308-8893
pISSN - 1681-6048
DOI - 10.20535/srit.2308-8893.2021.3.08
Subject(s) - economics , interval (graph theory) , monotonic function , production (economics) , growth model , technological change , function (biology) , econometrics , mathematical economics , macroeconomics , mathematics , mathematical analysis , combinatorics , evolutionary biology , biology
The comparative analysis of the neoclassical Solow’s model and the modified Solow’s model in the implementation of technological progress has shown undeniable advantages of the modified Solow’s model. A modified version of the Solow’s economic growth model, based on an n-step production function in the form of n S-shaped functions for the implementation of technological progress, ensures the growth of the economy on a sufficiently large time interval comparable to the duration of the life cycle of the economy under study. In this interval, referred to as the “technology gap”, intensive output y (t) can be carried out according to the following options: monotonic decrease (stable 1-cycle) of the considered model; oscillations (stable n-cycles, n=2,4,16,…), “the economy marks time”; chaotic fluctuations. This result for the models of economic growth has not been described in the literature.