A simple overlapping generations model with investment gestation lags is constructed. The model shows that, if the technology is of the AK type with capital-deepening externalities, the existence of investment gestation lags always generates permanent cyclical fluctuations in the economic growth...

This paper establishes an existence theorem of a non-trivial (positive capital stock) steady-state equilibrium in Diamond's (1965) overlapping-generations model with production by employing the steady-state consumption curve introduced in Ihori (1978). The assumptions on preferences and...

This paper examines the conditions which guarantee that the set of coalition-proof Nash equilibria coincides with the set of strong Nash equilibria in the normal form games without spillovers. We find that population monotonicity properties of the payoff functions, when the payoff of a player...