Symbolic Analysis of Economical Models with Mathematica

  • A. Gálvez
  • A. Iglesias
Conference paper
Part of the Lecture Notes in Computer Science book series (LNCS, volume 3992)


Functional equations is a very powerful technique to obtain consistent models in Economics. Unfortunately, there is only a few computer tools for solving functional equations. In this paper a Mathematica package, FSolve, is applied to the symbolic analysis of some economical models for price and advertising policies. The procedure is as follows: firstly, we make some assumptions about the functional structure of the functions describing the models. Such assumptions are given in terms of functional equations that account for some economical properties. Then, the package is applied to compute the solutions of these equations and check for inconsistencies. The interesting cases of the monopoly and duopoly models are discussed.


Functional Equation Economical Model Productivity Index Functional Structure Unit Price 
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Copyright information

© Springer-Verlag Berlin Heidelberg 2006

Authors and Affiliations

  • A. Gálvez
    • 1
  • A. Iglesias
    • 1
  1. 1.Department of Applied Mathematics and Computational SciencesUniversity of CantabriaSantanderSpain

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