Munich Personal RePEc Archive

Solow-Swan growth model and the fortunes of the commons

Aniket, Kumar (2018): Solow-Swan growth model and the fortunes of the commons.

This is the latest version of this item.

[img]
Preview
PDF
MPRA_paper_87844.pdf

Download (548kB) | Preview

Abstract

The traditional Solow-Swan growth framework has only one kind privately owned capital. Output saved in a period is transformed into privately owned capital through the saving channel. We add a fiscal channel that taxes output and transforms it into public goods subject to congestion. We show that under the standard conditions the steady state of the economy is determined by the interaction of these two channels and prosperity for a country is only attained if both channels work properly.

Available Versions of this Item

UB_LMU-Logo
MPRA is a RePEc service hosted by
the Munich University Library in Germany.