The general instability of balanced path
β
MarΔ±Μa Pilar MartΔ±Μnez-GarcΔ±Μa
π
Article
π
2003
π
Elsevier Science
π
English
β 166 KB
We prove the instability of optimal balanced paths in endogenous growth models, as long as transversality conditions are satisΓΏed. Moreover, we prove the complete instability of models with one state variable, whereas, in models with two and three state variables, we o er necessary and su cient cond