5

I think you have a typo in your $q_0$: the exponent of $N$ should be $-\frac{b}{a+b}$. I did the whole calculus with this corrected type of $q_0$ and I was able to replicate your results (this is why assume $q_0$ has only a typo and you actually did the algebra with the correct $q_0$). I suggest that the discrepancies to the paper are indeed connected to ...


3

Recently, Bronwyn Hall published an NBER working paper that seems to be exactly what you need. https://www.nber.org/papers/w27203


2

For negative values alone you can define relative change as: $$\frac{X_t-X_{t-1}}{|X_{t-1}|}$$ This is quite common way to deal with rates of change when you have negative numbers. However, when the denominator is zero then the growth rate is not defined. This can solve any issue when zero is not a base. When zero is the base unfortunately there is no way ...


2

You're right, since in basic Solow model (with population growth and no technological progress) macroeconomic closure condition (in aggregate terms) is: $$Y(t) = C(t) + I(t)$$ where $$I(t) = sY(t)$$ Now replacing the second in the first equation: $$Y(t) = C(t) + sY(t)$$ Factorizing we arrive at the equation you stated: $$C(t) = (1-s)Y(t)$$ Taking the first ...


2

Economists already consider South Korea to be developed economy. In fact some scholars already argued that Korea was a developed economy already sometime in late 90s - 2000s (see Kim, 1988; Kim, 2011). Opinions might differ because there is no precise definition of what developed country is but quite often in literature this is proxied with whether economy ...


1

One important reason why it is better to have activity be done formally rather than informally (grey or black markets) is access to proper institutions. Property rights, ability to enforce contractual obligations, above mentioned safety laws etc, are vital for economic activity (see Stiglitz Economics of Public Sector 3rd ed). Some economic activity does not ...


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