Abstract
The paper discusses a disaggregative model of a stationary state with a von Neumann type technology. The model allows for scarce primary inputs, and for consumption good outputs that enter into a utility function. The stationary state results from maximization of the sum of all future utilities discounted by a given annual discount factor α, either in a sufficiently distant future regardless of the initial capital stock, or at all times if the initial stock is just right. The dependence of the self-preserving capital stock on α is discussed.
Abstract of a paper presented to the Symposium on National Economy Modeling, organized by the Siberian Branch of the Academy of Sciences of the U. S. S. R., held in Novosibirsk, June 22–27, 1970, and subsequently to the Conference on the von Neumann Model, organized by the Institute for Advanced Studies, Vienna, Austria, July 6–7, 1970. The research described in this paper was carried out under grants from the National Science Foundation and from the Ford Foundation.
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Koopmans, T.C. (1971). A Model of a Continuing State with Scarce Capital. In: Bruckmann, G., Weber, W. (eds) Contributions to the Von Neumann Growth Model. Springer, Berlin, Heidelberg. https://doi.org/10.1007/978-3-662-24667-2_2
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DOI: https://doi.org/10.1007/978-3-662-24667-2_2
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