Wednesday, January 17, 2024

A Parameter Space for an Example of Harrod-Neutral Technical Progress

Figure 1: A Two-Dimensional Parameter Space

The above is for this example. I wish somebody would be inspired by this to write it up with mathematical proofs. What I see here is found by numerical methods.

Figure 1 shows a partition of the parameter space based on fluke switch points. The dashed line shows the temporal path in the previous post. Each of the solid lines are parallel affine functions, with a slope of unity. A proof that these slopes are unity should be able to handle a model with any number of produced commodities.

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