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Growth and Collapse of Empires: A Dynamic Optimization Model

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  • Yuri Yegorov
  • Dieter Grass
  • Magda Mirescu
  • Gustav Feichtinger
  • Franz Wirl

Abstract

This paper addresses the spatial evolution of countries accounting for economics, geography and (military) force. Economic activity is spatially distributed following the AK model with the output being split into consumption, investment, transport costs and military (for defense and expansion). The emperor controls the military force subject to the constraints imposed by the economy but also the geography (transport costs, border length) and the necessity to satisfy the needs of the population. The border changes depending on how much pressure the emperor can muster to counter the pressure of neighboring countries. The resulting dynamic process determines a country's si,-e over time. The model leads to multiple steady states, large empires and small countries being separated by a threshold, and collapse. The resulting patterns can be linked to historical observations.

Suggested Citation

  • Yuri Yegorov & Dieter Grass & Magda Mirescu & Gustav Feichtinger & Franz Wirl, 2019. "Growth and Collapse of Empires: A Dynamic Optimization Model," VID Working Papers 1905, Vienna Institute of Demography (VID) of the Austrian Academy of Sciences in Vienna.
    • Handle: RePEc:vid:wpaper:1905
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    2. Bernhard Hammer & Sonja Spitzer & Lili Vargha & Tanja Istenic, 2019. "The Gender Dimension of Intergenerational Transfers in Europe," VID Working Papers 1907, Vienna Institute of Demography (VID) of the Austrian Academy of Sciences in Vienna.

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