Endogenous fluctuations in an open econo
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Marta Aloi; Huw D. Dixon; Teresa Lloyd-Braga
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Article
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2000
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Elsevier Science
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English
β 272 KB
In this paper we study the e!ects of opening an economy, with increasing returns in the production of nontraded goods, on the existence of multiple Pareto-ranked stationary equilibria, local indeterminacy and bifurcations. We consider a standard overlapping generation model of a small open economy,