Transition dynamics in an AK growth model under wage rigidity

@article{Greiner2012TransitionDI,
  title={Transition dynamics in an AK growth model under wage rigidity},
  author={Alfred Greiner},
  journal={Mathematical Social Sciences},
  year={2012},
  volume={63},
  pages={50-56}
}
In this paper, we analyze the so-called AK endogenous growthmodel with persistent unemployment due to wage rigidities that result from labor market imperfections. We demonstrate that the existence of a balanced growth path implies that it is unique or that there exist two balanced growth paths, depending on the structural parameters of the model. The… CONTINUE READING