Cobweb Theorems with Production Lags and Price Forecasting-Reference-Cited by-同舟云学术

Cobweb Theorems with Production Lags and Price Forecasting

Published:2013-05-27 Issue:1 Volume:7 Page:
ISSN:1864-6042
Container-title:Economics
language:en
Short-container-title:

Author:

Dufresne Daniel¹,Vázquez-Abad Felisa²

Affiliation:

1. Centre for Actuarial Studies , University of Melbourne , Australia

2. Department of Computer Science , Hunter College , CUNY, New York, NY, USA

Abstract

Abstract The classical cobweb theorem is extended to include production lags and price forecasts. Price forecasting based on a longer period has a stabilizing effect on prices. Longer production lags do not necessarily lead to unstable prices; very long lags lead to cycles of constant amplitude. The classical cobweb requires elasticity of demand to be greater than that of supply; this is not necessarily the case in a more general setting. Random shocks are also considered.

Publisher

Walter de Gruyter GmbH

Subject

General Economics, Econometrics and Finance

Link

https://www.degruyter.com/document/doi/10.5018/economics-ejournal.ja.2013-23/pdf

Reference25 articles.

1. Bougerol, P., and Picard, N. (1992). Strict stationarity of generalized autoregressive processes. Annals of Probability, 20(4): 1714–1730. http://ideas.repec.org/a/eee/econom/v52y1992i1-2p115-127.html

2. Brandt, A. (1986). The stochastic equation Yn+1 = AnYn +Bn with stationary coefficients. Adv. Appl. Prob, 18: 211–220. http://www.jstor.org/stable/1427243

3. Chiarella, C. (1988). The cobweb model: Its instability and the onset of chaos. Economic Modelling, 5(4): 377–384. http://ideas.repec.org/a/eee/ecmode/v5y1988i4p377-384.html

4. Chiarella, C., and He, X. (2004). Dynamics of beliefs and learning under aL-processes – The homogeneous case. Vol. 14 of ISETE (International Symposium in Economic Theory and Econometrics) Series. In Economic Complexity: Non-linear Dynamics, Multi-Agents Economies, and Learning, pages 363–390. Elsevier.

5. Conlisk, J. (1974). Stability in a random coefficient model. International Economic Review, 15: 529–533. http://ideas.repec.org/a/ier/iecrev/v15y1974i2p529-33.html

Cited by 1 articles. 订阅此论文施引文献订阅此论文施引文献，注册后可以免费订阅5篇论文的施引文献，订阅后可以查看论文全部施引文献

1. Fractional‐Order Delay Cobweb Model and Its Price Dynamics;International Journal of Differential Equations;2024-01