14.452 Economic Growth: Lectures 5 and 6, Neoclassical
Growth
Daron Acemoglu
M IT
November 10 and 12, 2009.
D aron A cemoglu (MIT)
E conomic G rowth L ectures 5 and 6
N ovember 1 0 and 1 2, 2 009.
1
14.452 Economic Growth: Lecture 3, The Solow Growth
Model and the Data
Daron Acemoglu
MIT
November 3, 2009.
Daron Acemoglu (MIT)
Economic Growth Lecture 3
November 3, 2009.
1 / 55
Mapping the Model t
14.452 Economic Growth: Lecture 2: The Solow Growth
Model
Daron Acemoglu
MIT
October 29, 2009.
Daron Acemoglu (MIT)
Economic Growth Lecture 2
October 29, 2009.
1 / 68
Transitional Dynamics in the Dis
14.452 Economic Growth: Lecture 1, Stylized Facts of Economic Growth and Development and Introduction to the Solow Model
Daron Acemoglu
MIT
October 26, 2009.
Daron Acemoglu (MIT)
Economic Growth Lectu
Recursive Methods
Recursive Methods
Nr. 1
Outline Today's Lecture
continue APS:
worst and best value
Application: Insurance with Limitted Commitment stochastic dynamics
Recursive Methods
Nr. 2
B(W)
Recursive Methods
Recursive Methods
Nr. 1
Outline Today's Lecture
Dynamic Programming under Uncertainty notation of sequence problem leave study of dynamics for next week Dynamic Recursive Games: Abr
Recursive Methods
Introduction to Dynamic Optimization
Nr. 1
Outline Today's Lecture
linearization argument review linear dynamics stability theorem for Non-Linear dynamics
Introduction to Dynamic Op
Recursive Methods
Recursive Methods
Nr. 1
Outline Todays Lecture
Anything goes: Boldrin Montrucchio Global Stability: Liapunov functions Linear Dynamics Local Stability: Linear Approximation of Euler
Recursive Methods
Introduction to Dynamic Optimization
Nr. 1
Outline Today's Lecture
neoclassical growth application: use all theorems constant returns to scale homogenous returns unbounded returns
I
Recursive Methods
Introduction to Dynamic Optimization
Nr. 1
Outline Today's Lecture
discuss Matlab code differentiability of value function application: neoclassical growth model homogenous and unbo
Recursive Methods
Introduction to Dynamic Optimization
Nr. 1
Outline Today's Lecture
finish off: theorem of the maximum Bellman equation with bounded and continuous F differentiability of value funct
Recursive Methods
Introduction to Dynamic Optimization
Nr. 1
Outline Today's Lecture
study Functional Equation (Bellman equation) with bounded and continuous F tools: contraction mapping and theorem
Recursive Methods
Introduction to Dynamic Optimization
Nr. 1
Outline Today's Lecture
housekeeping: ps#1 and recitation day/ theory general / web page finish Principle of Optimality: Sequence Problem
Recursive Methods
Introduction to Dynamic Optimization
Nr. 1
Outline Today's Lecture
finish Euler Equations and Transversality Condition Principle of Optimality: Bellman's Equation Study of Bellman e
14.128. Problem Set #3
1 Neoclassical Growth: Linear and Non-Linear Speed of Convergence
Consider the neoclassical growth model with u (c) = c1- / (1 - ) G (k, 1) = k and depreciation rate . (a) Using
Problem Set #2: Recursive Methods
Spring 2003
1
Differentiability of the value function
This problem is for those that would like to attempt it. There is no need to hand it in. For any dynamic program
1
Solutions Pset 3
1) Do some programing 3) Brock Mirman problem a) Take V = a1 log k + a2 log + a3 . Then the max problem is T V (k) = T V (k) = max ln (Ak - k0 ) + E [a1 log k0 + a2 log + a3 ] ln (A
14.128 Recursive Methods: Problem Set #1
Solve the following important exercises from SLP. In some cases you only have turn in a subset of the exercises you are required to do. However, you are expect
Problem Set 1
1
3.2
Answers to the required problems
a) Take any three vectors x, y, z in Rl and two real number , R. Define the zero vector = (0, ., 0) Rl . To check that it is a vector space, define
14.461 Part II Problem Set 2
Fall 2009
1
Unemployment Insurance and Saving
This problem studies unemployment insurance in the presence of a moral hazard problem, when agents are allowed to privately s
14.461 Part II Problem Set 1, Solutions
Fall 2009
1
Wage Dispersion
This problem extends the search model with random matching and Nash bargaining seen in class to allow for match-speci.c productivity
14.461 Part II Problem Set 1
Fall 2009
1
Wage Dispersion
This problem extends the search model with random matching and Nash bargaining seen in class to allow for match-speci.c productivity. This simp
14.461 Problem Set 2
Fall 2009
Problem 1: Imperfect information on technology
[Based on Angeletos and La' 2009] O, Consider an economy with a continuum of sectors [0; 1]. In each sector there is a con