A SHORT SURVEY ON CHAOTIC DYNAMICS IN SOLOW-TYPE GROWTH MODELS

In this paper we review some Solow-type growth models, framed is discrete time, which are able to generate complex dynamic behaviour. For these models � put forward by Day (1982, 1983); B�hm and Kaas (2000); and Commendatore (2005) � we show that crucial features which could determine the emergence of regular or irregular growth cycles are (i) if the average saving ratio is constant or not; and (ii) the curvature of production function, representing the degree of substitutability between labour and capital. The lower the degree of substitutability, the higher the likelihood of complex behaviour.