Endogenous business cycles and growth

Arbeitspapier

Current explanations why a growing economy necessarily goes through booms and recessions predict countercyclical R&D investment. As this is very controversial from an empirical perspective, a stochastic Poissonmodel of endogenous business cycles and growth is presented where the determinants of the cyclical behaviour of R&D investment are analytically studied. Providing an explicit expression for the expected length of a cycle shows that high frequency fluctuations can indeed be understood by this approach. It is also shown how small technological improvements translate into large aggregate fluctuations.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: Dresden Discussion Paper Series in Economics ; No. 12/03

Classification and Topics

• Classification: Wirtschaft ; Business Fluctuations; Cycles ; One, Two, and Multisector Growth Models
• Subject: Endogenous fluctuations and growth ; Uncertainty under continuous time ; Real Business Cycle ; Forschung ; Investition ; Technischer Fortschritt ; Stochastisches Wachstumsmodell ; Mehr-Sektoren-Modell ; Theorie

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Wälde, Klaus
• Event: Veröffentlichung
• (who): Technische Universität Dresden, Fakultät Wirtschaftswissenschaften
• (where): Dresden
• (when): 2003

Further information

• Handle: http://hdl.handle.net/10419/48122
• Last update: 10.03.2025, 11:42 AM CET