
Accession Number : AD0666972
Title : ON DETERMINISTIC AND STOCHASTIC STRUCTURES.
Descriptive Note : Research memo.,
Corporate Author : PRINCETON UNIV N J ECONOMETRIC RESEARCH PROGRAM
Personal Author(s) : Dagum,Camilo
Report Date : DEC 1967
Pagination or Media Count : 25
Abstract : The concept of a modern society as opposed to a traditional (backward) society and the idea of structural change underline nearly all up to date economic policies of development. The notion of structural change is at stake first of all in the current polemic on causes of inflation between the Latin American school of inflation (structuralist school) the more orthodox monetarist school. We can trace it also in the theoretical foundations of any economic policy. Nevertheless, the concept of structure has not a clearcut statement outside econometrics. The purpose of this paper is to develop a quantitative and operational concept of structure and, as a consequence, a quantitative and operational concept of structural change. With that aim the deterministic and stochastic postulates are introduced in terms of the notion of probability space. These concepts together with the notion of parameter space bring out definitions of stochastic and deterministic structures and structural changes. These elements allow a direct interpretation and measure of economic development in terms of a notion of structural change derived from: (a) an observed structure, (b) the formulation of an objective structure and (c) a given decision model (philosophy of action). (Author)
Descriptors : (*ECONOMICS, STOCHASTIC PROCESSES), PROBABILITY, SET THEORY, MEASURE THEORY, MATHEMATICAL PREDICTION, MATHEMATICAL MODELS, SOCIOLOGY, BEHAVIOR
Subject Categories : Economics and Cost Analysis
Distribution Statement : APPROVED FOR PUBLIC RELEASE