IDEAS home Printed from https://ideas.repec.org/a/fec/journl/v12y2017i2p268-279.html

Competitive Equilibrium in an Overlapping Generations Model with Production Loans

Author

Listed:
  • Dihai Wang

    (School of Economics, Fudan University, Shanghai 200433, China)

  • Gaowang Wang

    (Center for Economic Research, Shandong University, Jinan 250100, China)

  • Heng-fu Zou

    (China Economics and Management Academy, Central University of Finance and Economics, Beijing 100083, China)

Abstract

The paper shows that there do exist two kinds of steady states equilibria in the overlapping generations models with consumption and production loans, similar to the pure exchange economies examined by Gale (1973). Furthermore, the local stability properties of these two (kinds of) steady states are also investigated: In the classical case, the golden-rule steady state is stable and the balanced steady state is saddle-point stable; however, in the Samuelson case, the golden-rule steady state is saddle-point stable and the balanced steady state is stable.

Suggested Citation

  • Dihai Wang & Gaowang Wang & Heng-fu Zou, 2017. "Competitive Equilibrium in an Overlapping Generations Model with Production Loans," Frontiers of Economics in China-Selected Publications from Chinese Universities, Higher Education Press, vol. 12(2), pages 268-279, June.
    • Handle: RePEc:fec:journl:v:12:y:2017:i:2:p:268-279
    as

    Download full text from publisher

    File URL: http://journal.hep.com.cn/fec/EN/10.3868/s060-006-017-0012-3
    Download Restriction: no
    ---><---

    Other versions of this item:

    More about this item

    Keywords

    ;
    ;
    ;

    JEL classification:

    • E21 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Consumption; Saving; Wealth
    • O41 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - One, Two, and Multisector Growth Models

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:fec:journl:v:12:y:2017:i:2:p:268-279. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Frank H. Liu The email address of this maintainer does not seem to be valid anymore. Please ask Frank H. Liu to update the entry or send us the correct address (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.