Measuring complexity in a business cycle model of the Kaldor type

The purpose of this paper is to study the dynamical behavior of a family of two-dimensional nonlinear maps associated to an economic model. Our objective is to measure the complexity of the system using techniques of symbolic dynamics in order to compute the topological entropy. The analysis of the...

Full description

Saved in:
Bibliographic Details
Published inChaos, solitons and fractals Vol. 42; no. 5; pp. 2890 - 2903
Main Authors Januário, Cristina, Grácio, Clara, Duarte, Jorge
Format Journal Article
LanguageEnglish
Published Elsevier Ltd 15.12.2009
Subjects
Dynamical systems
Economics
Entropy
Invariants
Mathematical models
Nonlinear dynamics
Solitons
Online AccessGet full text

Cover

More Information
Summary:The purpose of this paper is to study the dynamical behavior of a family of two-dimensional nonlinear maps associated to an economic model. Our objective is to measure the complexity of the system using techniques of symbolic dynamics in order to compute the topological entropy. The analysis of the variation of this important topological invariant with the parameters of the system, allows us to distinguish different chaotic scenarios. Finally, we use a another topological invariant to distinguish isentropic dynamics and we exhibit numerical results about maps with the same topological entropy. This work provides an illustration of how our understanding of higher dimensional economic models can be enhanced by the theory of dynamical systems.
Bibliography:ObjectType-Article-1
SourceType-Scholarly Journals-1
ObjectType-Feature-2
content type line 23
ISSN:0960-0779
1873-2887
DOI:10.1016/j.chaos.2009.04.030