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Discrete time Solow model golden rule saving rate
I have a discrete time Solow model and need to derive the golden rule for the economy by setting maximization problem. How can I do that, if I can’t take derivative?
Note: required investment can’t be ...
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1
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1
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Solow model and a change in the savings rate
In the solow model why does an increase in the savings rate shift the investment curve instead of move along it? Intuitively not mathematically
Thanks
- 31
2
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2
answers
640
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Why does a rise in the savings rate result in an increase in the capital stock intuitively?
I understand mathematically how it works. But what is the actual process intuitively.
Thanks
- 31