Unformatted text preview: c) Show that the solution satisfies the difference equation for the recursive competitive equilibrium: [ ] . ) ( ) ( 2 1 1 1 1 =++ + + + t t t t t Y Y d Y A A Y Y d d) Show that in the long run, production converges to a steady state value and determine its value....
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 Spring '10
 Kutler
 Microeconomics, Thermodynamics, Homeostasis, Dynamic Equilibrium, Steady State, recursive competitive equilibrium, linear regulator problem

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