The Segerstrom Model: Stability, Speed of Convergence and Policy Implications

This short paper presents a simple analytical stability proof for the well-known Segerstrom (1998) model of endogenous growth. Moreover, a calibrated version of the model is employed to assess the speed of convergence. The result shows that transitional dynamics are important and, hence, the policy ineffectiveness proposition of non-scale endogenous growth models must be qualified.

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Year of publication:	2003
Authors:	Steger, Thomas M.
Published in:	Economics Bulletin. - AccessEcon, ISSN 1545-2921. - Vol. 15.2003, 4, p. 1-8
Publisher:	AccessEcon

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Extent:	application/pdf
Type of publication:	Article
Language:	English
Classification:	N1 - Macroeconomics and Monetary Economics; Growth and Fluctuations
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10005767621