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The Replacement Problem

Author

Listed:
  • Cooley, T.F.
  • Greenwood, J.
  • Yorukoglu, M.

Abstract

A prototypical vintage capital model of economic growth is developed, where the decision to replace old technologies with new ones is modeled explicitly. Technological change is investment specific. Depreciation in this environment is an economic , not a physical concept.
(This abstract was borrowed from another version of this item.)

Suggested Citation

  • Cooley, T.F. & Greenwood, J. & Yorukoglu, M., 1995. "The Replacement Problem," UWO Department of Economics Working Papers 9508, University of Western Ontario, Department of Economics.
  • Handle: RePEc:uwo:uwowop:9508
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    References listed on IDEAS

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    More about this item

    Keywords

    CAPITAL MOVEMENTS; ECONOMIC GROWTH; DECISION MAKING;

    JEL classification:

    • E13 - Macroeconomics and Monetary Economics - - General Aggregative Models - - - Neoclassical
    • E22 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Investment; Capital; Intangible Capital; Capacity
    • O41 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - One, Two, and Multisector Growth Models

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