Vintage capital, investment, and growth

Jess Benhabib; Aldo Rustichini

doi:10.1016/0022-0531(91)90043-4

Vintage capital, investment, and growth

Jess Benhabib, Aldo Rustichini

Research output: Contribution to journal › Article › peer-review

Abstract

We study the dynamics of growth and investment in a continuous time model with vintage capital. Vintage capital models may be characterized by non-exponential rates of depreciation and technical change and can incorporate "gestation lags" as well as "learning by using." We investigate the effect of such features on the dynamics of investment and growth and show how they can contribute to explaining the volatile nature of investment time-series.

Original language	English (US)
Pages (from-to)	323-339
Number of pages	17
Journal	Journal of Economic Theory
Volume	55
Issue number	2
DOIs	https://doi.org/10.1016/0022-0531(91)90043-4
State	Published - Dec 1991

ASJC Scopus subject areas

Economics and Econometrics

Access to Document

10.1016/0022-0531(91)90043-4

Cite this

@article{344f886ec938412c81813ff5b811aee2,

title = "Vintage capital, investment, and growth",

abstract = "We study the dynamics of growth and investment in a continuous time model with vintage capital. Vintage capital models may be characterized by non-exponential rates of depreciation and technical change and can incorporate {"}gestation lags{"} as well as {"}learning by using.{"} We investigate the effect of such features on the dynamics of investment and growth and show how they can contribute to explaining the volatile nature of investment time-series.",

author = "Jess Benhabib and Aldo Rustichini",

year = "1991",

month = dec,

doi = "10.1016/0022-0531(91)90043-4",

language = "English (US)",

volume = "55",

pages = "323--339",

journal = "Journal of Economic Theory",

issn = "0022-0531",

publisher = "Academic Press Inc.",

number = "2",

}

TY - JOUR

T1 - Vintage capital, investment, and growth

AU - Benhabib, Jess

AU - Rustichini, Aldo

PY - 1991/12

Y1 - 1991/12

N2 - We study the dynamics of growth and investment in a continuous time model with vintage capital. Vintage capital models may be characterized by non-exponential rates of depreciation and technical change and can incorporate "gestation lags" as well as "learning by using." We investigate the effect of such features on the dynamics of investment and growth and show how they can contribute to explaining the volatile nature of investment time-series.

AB - We study the dynamics of growth and investment in a continuous time model with vintage capital. Vintage capital models may be characterized by non-exponential rates of depreciation and technical change and can incorporate "gestation lags" as well as "learning by using." We investigate the effect of such features on the dynamics of investment and growth and show how they can contribute to explaining the volatile nature of investment time-series.

UR - http://www.scopus.com/inward/record.url?scp=0000946018&partnerID=8YFLogxK

UR - http://www.scopus.com/inward/citedby.url?scp=0000946018&partnerID=8YFLogxK

U2 - 10.1016/0022-0531(91)90043-4

DO - 10.1016/0022-0531(91)90043-4

M3 - Article

AN - SCOPUS:0000946018

SN - 0022-0531

VL - 55

SP - 323

EP - 339

JO - Journal of Economic Theory

JF - Journal of Economic Theory

IS - 2

ER -

Vintage capital, investment, and growth

Abstract

ASJC Scopus subject areas

Access to Document

Other files and links

Fingerprint

Cite this