The paper presents the basic theory and conceptual model for advance-retreat course and provides the analytic model the stochastic advance-retreat course and the solving method of it, discusses the relations between the endogenous resistance and subject interests increase with the periodic vibration in an advance-retreat course, gets some results, like heightening appropriately the risk-free interest rate will be favorable to subject interests’ increasing in stable, interests increasing in high-speed will result in the fast increase of resistance, the subject progress in a appropriate pace may bring the conclusion such as lasting interests increase and return with higher-level interests, etc. Finally, the empirical researches empirical, on data of USA GDP (chained) price index, has been made to the stochastic advance-retreat model, and the results show that the stochastic advance-retreat model can describe USA economic development process in recent 65 years.
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Paper provided by University Library of Munich, Germany in its series MPRA Paper with number
117.
Find related papers by JEL classification: O11 - Economic Development, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development C73 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Stochastic and Dynamic Games; Evolutionary Games E17 - Macroeconomics and Monetary Economics - - General Aggregative Models - - - Forecasting and Simulation C53 - Mathematical and Quantitative Methods - - Econometric Modeling - - - Forecasting and Other Model Applications
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