The New Palgrave Dictionary of Economics

2018 Edition
| Editors: Macmillan Publishers Ltd

Growth Models, Multisector

  • W. A. Brock
  • W. D. Dechert
Reference work entry
DOI: https://doi.org/10.1057/978-1-349-95189-5_2093

Abstract

Multisector growth models have been increasingly used since the 1980s. The duality between growth models and dynamic general equilibrium models renders the multisector growth model ideal for the analysis of efficient intertemporal resource allocation. This includes renewable and non-renewable natural resources, produced resources such as capital, and land and labour resources. Growth models have been widely used in business cycle theory and in asset pricing theory. They have also been applied to the optimal management of dynamic ecological systems that have an economic component as a part of a complex systems model.

Keywords

Asset pricing model Bequest motive Business cycles Central limit theorem Computation Concavity Convergence Decentralization Dynamic macroeconomic theory Equity premium puzzle Equivalence theorem General equilibrium Indirect utility function Infinite horizons Law of large numbers Multisector growth models New Keynesian macroeconomics Optimal growth models Optimal planning models Overtaking ordering Rational expectations equilibrium Real business cycles Recursive intertemporal general equilibrium models Representative agent Separating hyperplane theorem Single-sector growth models Turnpike theorems 

JEL Classifications

O41 
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Copyright information

© Macmillan Publishers Ltd. 2018

Authors and Affiliations

  • W. A. Brock
    • 1
  • W. D. Dechert
    • 1
  1. 1.