Guo, Jang-Ting; Lansing, Kevin J. - Department of Economics, University of California-Riverside - 2008
This paper examines the quantitative relationship between the elasticity of capital-labor substitution and the conditions needed for equilibrium indeterminacy (and belief-driven áuctuations) in a one-sector growth model. Our analysis employs a ínormalizedîversion of the CES production...