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Convergence speed and preference externalities in a one-sector model with elastic labor supply

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  • Nakamoto, Yasuhiro

Abstract

In a one-sector model with elastic labor supply where consumption and leisure externalities are incorporated, we examine the impact of preference externalities on convergence speed.

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Bibliographic Info

Article provided by Elsevier in its journal Economics Letters.

Volume (Year): 105 (2009)
Issue (Month): 1 (October)
Pages: 86-89

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Handle: RePEc:eee:ecolet:v:105:y:2009:i:1:p:86-89

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Web page: http://www.elsevier.com/locate/ecolet

Related research

Keywords: Consumption externalities Leisure externalities Convergence speed Intertemporal substitution elasticity Elastic labor supply;

References

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  1. King, R.G. & Rebelo, S.T., 1989. "Transitional Dynamics And Economic Growth In The Neoclassical Model," RCER Working Papers 206, University of Rochester - Center for Economic Research (RCER).
  2. Turnovsky, Stephen J., 2002. "Intertemporal and intratemporal substitution, and the speed of convergence in the neoclassical growth model," Journal of Economic Dynamics and Control, Elsevier, vol. 26(9-10), pages 1765-1785, August.
  3. Pintea, Mihaela I., 2010. "Leisure externalities: Implications for growth and welfare," Journal of Macroeconomics, Elsevier, vol. 32(4), pages 1025-1040, December.
  4. Stephen J. Turnovsky & Cecilia Garcia-Pe–alosa, 2006. "The Dynamics of Wealth and Income Distribution in a Neoclassical Growth Model," IDEP Working Papers 0604, Institut d'economie publique (IDEP), Marseille, France, revised Jul 2006.
  5. Ramanathan, R, 1975. "The Elasticity of Substitution and the Speed of Convergence in Growth Models," Economic Journal, Royal Economic Society, vol. 85(339), pages 612-13, September.
  6. Liu, Wen-Fang & Turnovsky, Stephen J., 2005. "Consumption externalities, production externalities, and long-run macroeconomic efficiency," Journal of Public Economics, Elsevier, vol. 89(5-6), pages 1097-1129, June.
  7. Manuel A. Gómez, 2008. "Consumption And Leisure Externalities, Economic Growth And Equilibrium Efficiency," Scottish Journal of Political Economy, Scottish Economic Society, vol. 55(2), pages 227-249, 05.
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Cited by:
  1. Grodner, Andrew & Kniesner, Thomas J. & Bishop, John A., 2011. "Social Interactions in the Labor Market," Foundations and Trends(R) in Microeconomics, now publishers, vol. 6(4), pages 265-366, September.

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