Non-Standard Method of Discretization on the Example of Haavelmo Growth Cycle Model

• Autorzy: Małgorzata Guzowska
• Języki publikacji: EN

Abstrakty

EN

In the theory of economics most models describing economic growth make use of differential equations. The examples are Solow's and Haavelmo's models. However, when they are used by econometricians many questions arise. Firstly, economic data are presented in discrete form, which implies the use of difference equations. Secondly, the mode transition from continuous form to the discrete one in order to estimate its parameters is still controversial. It has been observed for some time that standard (classical) discretization methods of differential equations often produce difference equations that do not share their dynamics (for example produce chaotic behavior). (original abstract)

Słowa kluczowe

EN

Econometric models; Econometric modeling; Computing simulation

PL

Modele ekonometryczne; Modelowanie ekonometryczne; Symulacje komputerowe

• Czasopismo: Folia Oeconomica Stetinensia
• Rocznik: 2008
• Tom: 7
• Numer: nr 1
• Strony: 45--55

Twórcy

autor

Małgorzata Guzowska

• University of Szczecin, Poland

Bibliografia

• Elaydi, S. (2007). Discrete Chaos 2e. Boca Raton: Chapman & Hall/CRC.
• Haavelmo, T. (1954). A Study in the Theory of Economic Evolution. Amsterdam: North-Holland.
• Kahan, W. (1993). Unconventional Numerical Methods for Trajectory Calculations. Unpublished lecture notes. Berkeley: University of California Berkley.
• Mickens, R. E. (1994). Nonstandard Finite Difference Methods of Differential Equations. Singapore: World Scientific.
• Roeger Lih-Ing, W. (2006). Local Stability of Euler's and Kahan's Methods. Journal of Difference Equations and Applications. Vol. 10, No. 6, 601-614.
• Stutzer, M.J. (1980). Chaotic Dynamics and Bifurcations in a Macro-Model. Journal of Economic Dynamics and Control. 2, 353-376.

Identyfikatory

DOI

10.2478/v10031-008-0009-8