The Z-Transform Method for Multidimensional Dynamic Economic Systems
This paper uses the Z-transform to develop a method for solving the linearized multidimensional discrete-time systems, which can be used to discuss the e¡èects of policies on economy (including the welfare gains and initial e¡èects on economy) raised by multi-sector perfect-foresight-discrete-time models. Our method is not restricted on the dimension of the dynamic system, and it cannot only analyze the effect of permanent policy change on the economy, but also it can be used to analyze the e¡èect of temporal policy change on the economy. As an application example, we analyze the effects of fiscal policy on the initial economy and social welfare in the discrete-time Uzawa-Lucas model.
|Date of creation:||2012|
|Contact details of provider:|| Web page: http://cema.cufe.edu.cn/|
More information through EDIRC
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Meijdam, Lex & Verhoeven, Marijn, 1998.
"Comparative Dynamics in Perfect-Foresight Models,"
Springer;Society for Computational Economics, vol. 12(2), pages 115-124, October.
- Meijdam, A.C. & Verhoeven, M.J.M., 1994. "Comparative Dynamics in Perfect-Foresight Models," Discussion Paper 1994-73, Tilburg University, Center for Economic Research.
- Meijdam, A.C. & Verhoeven, M.J.M., 1997. "Comparative dynamics in perfect foresight models," Other publications TiSEM 5831ed0f-6814-447d-9434-7, Tilburg University, School of Economics and Management.
- Chamley, Christophe, 1981.
"The Welfare Cost of Capital Income Taxation in a Growing Economy,"
Journal of Political Economy,
University of Chicago Press, vol. 89(3), pages 468-496, June.
- Christophe Chamley, 1980. "The Welfare Cost of Capital Income Taxation in a Growing Economy," Cowles Foundation Discussion Papers 553, Cowles Foundation for Research in Economics, Yale University.
- B. Douglas Bernheim, 1981. "A Note on Dynamic Tax Incidence," The Quarterly Journal of Economics, Oxford University Press, vol. 96(4), pages 705-723.
- Salvador Ortigueira, 1996.
"Fiscal Policy in an Endogenous Growth Model with Human Capital Accumulation,"
9609, Centro de Investigacion Economica, ITAM.
- Ortigueira, Salvador, 1998. "Fiscal policy in an endogenous growth model with human capital accumulation," Journal of Monetary Economics, Elsevier, vol. 42(2), pages 323-355, July.
- Judd, Kenneth L., 1982. "An alternative to steady-state comparisons in perfect foresight models," Economics Letters, Elsevier, vol. 10(1-2), pages 55-59.
- Jones, Larry E & Manuelli, Rodolfo E & Rossi, Peter E, 1993. "Optimal Taxation in Models of Endogenous Growth," Journal of Political Economy, University of Chicago Press, vol. 101(3), pages 485-517, June.
- Casey B. Mulligan & Xavier Sala-i-Martin, 1993. "Transitional Dynamics in Two-Sector Models of Endogenous Growth," The Quarterly Journal of Economics, Oxford University Press, vol. 108(3), pages 739-773.
- Xiaoyong, Cui & Gong, Liutang, 2006. "Laplace transform methods for linearizing multidimensional systems," Economics Letters, Elsevier, vol. 90(2), pages 176-182, February.
- Blanchard, Olivier Jean & Kahn, Charles M, 1980. "The Solution of Linear Difference Models under Rational Expectations," Econometrica, Econometric Society, vol. 48(5), pages 1305-1311, July.
- Robert E. Lucas Jr., 2003. "Macroeconomic Priorities," American Economic Review, American Economic Association, vol. 93(1), pages 1-14, March.
When requesting a correction, please mention this item's handle: RePEc:cuf:wpaper:532. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Qiang Gao)
If references are entirely missing, you can add them using this form.