Accession Number : AD0716584

Title :   An Optimal Growth Model with Time Lags.

Descriptive Note : Technical rept.,

Corporate Author : KRANNERT GRADUATE SCHOOL OF INDUSTRIAL ADMINISTRATION LAFAYETTE IND

Personal Author(s) : Whinston,Andrew ; Loehman,Edna ; El-Hodiri,Mohamed

Report Date : 18 DEC 1970

Pagination or Media Count : 11

Abstract : Recent papers of optimal growth considered models of allocation of resources between consumption and investment. It was invariably assumed that investment results in an instantaneous increase in the stock of capital. Such assumptions obscure differences in the gestation periods among various capital goods. One discussed how a growth problem with time lags could be formulated and interpreted and explained the derivation of the necessary conditions for optimization. In this note one studies the effects of differences in gestation periods on optimal investment plans for a growth problem including depreciation and population growth. (Author)

Descriptors :   (*OPERATIONS RESEARCH, ECONOMICS), INDUSTRIES, PRODUCTION CONTROL, MONEY, SET THEORY, TIME LAG THEORY, OPTIMIZATION

Subject Categories : Operations Research

Distribution Statement : APPROVED FOR PUBLIC RELEASE