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An Alternative to Stationarization

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Author Info
Michel Juillard (Paris Sciences Economiques, ENS-EHESS-CNRS-ENPC and University Paris8)

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Abstract

For good reasons, it is standard practice to remove trends before linearizing a growth model. This paper explores an alternative strategy that consists in computing local approximations around successive points in the state space. Obviously this is terribly inefficiant it trend removal is feasible, but it makes possible to do local approximation in models that don't allow for trend removal. Among such models one can find models that don't display balanced growth and some models with learning

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Publisher Info
Paper provided by Society for Computational Economics in its series Computing in Economics and Finance 2006 with number 377.

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Date of creation: 04 Jul 2006
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Handle: RePEc:sce:scecfa:377

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Related research
Keywords: approximation method; growth models;

Find related papers by JEL classification:
C63 - Mathematical and Quantitative Methods - - Mathematical Methods and Programming - - - Computational Techniques

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This page was last updated on 2009-12-9.


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