Re: [OPE-L] Teaching Tautologies : dynamic or static?

From: Anders Ekeland (anders.ekeland@ONLINE.NO)
Date: Tue Mar 15 2005 - 15:05:09 EST


Hi Jerry,

Very difficult to discuss a paper/model I have not seen, and a static
population is not an important restriction in an industrialized economy in
the short (2-3) and medium (5-10) run. Physical capital stocks could be
given in the short run, if the rate of utilization and/or productivity is
allowed to change.

I agree that the mathematical tools are not decisive, but IMHO
difference-eq opens up for quite different extentions/modification of
models, than a simultaneus eq. model, which is locked into compartative
statics from the outset.

But I will refrain from further comments on a paper I have not read - where
can I get hold of that paper?


Regards
Anders


At 20:31 15.03.2005, Gerald_A_Levy@MSN.COM wrote:
> > But since your model is in difference-eq form (dynamic), [...]
>
>Anders:
>
>If  it is a short-run model in which "productivity, population, and physical
>capital stocks in place are all constant"  how can it be said to have a
>"dynamic" form?    Difference equations by themselves do not a dynamic
>model make.
>
>In solidarity, Jerry


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