The Czech Economic Review is published by Charles University in Prague. The journal was founded in 2007 as a descendant to a traditional Czech-written outlet, Acta Universitatis Carolinae Oeconomica (AUCO). Three issues are published per volume. All articles and communications are available online free of charge. Printed copies can also be ordered.
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CZECH ECONOMIC REVIEW, Vol 2015 No 1 (2016), 155–168
The Iterative Nature of a Class of Economic Dynamics
Shilei Wang
published online: 19. 09. 2016
abstract
This work aims to demonstrate a rather specific “iterative nature” existing in a class of regular economic dynamics by revisiting two typical economic concepts as informative examples, viz., random utility and stochastic growth. We begin with a formal treatment of discrete dynamical system and its popular derivation, iterated function system, so that a solid foundation could be laid for our analysis of economic dynamics. Two economic systems afterwards are constructed to show how random utility function and stochastic growth in a classical economy could be essentially driven by some iterative elements. Besides, our analyses also implicitly show that a quite complex economic dynamics carrying substantial randomness could basically originate in some fairly simple dynamic principles.
keywords: dynamical system; iterated function system; random utility function; stochastic growth; chaos
157 x 230 mm
periodicity: 3 x per year
ISSN: 1802-4696
E-ISSN: 1805-9406