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The Relationship between Growth and Volatility under Alternative Shocks

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  • Ragchaasuren, Galindev

Abstract

This paper presents a simple stochastic endogenous growth model with multiple shocks a preference shock and a learning shock. The model is used to predict alternative relationships between growth and volatility on the basis of the underlying impulse source of fluctuations.

Suggested Citation

  • Ragchaasuren, Galindev, 2005. "The Relationship between Growth and Volatility under Alternative Shocks," Economics Discussion Papers 9980, University of Essex, Department of Economics.
    • Handle: RePEc:esx:essedp:9980
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    File URL: https://repository.essex.ac.uk/9980/
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