The Neoclassical Growth Model - and Ricardian Equivalence

This textbook provides a detailed summary of the key elements within The Neoclassical Growth Model and the Ricardian Equivalence.

1. Introduction

2. The neoclassical growth model

3. The steady state

4. Ricardian equivalence

5. Conclusions

Appendix A
A1. The maximization problem of the representative fi rm
A2. The equilibrium value of the representative fi rm
A3. The goverment’s intertemporal budget constraint
A4. The representative household’s intertemporal budget constraint
A5. The maximization problem of the representative household
A6. The consumption level of the representative household

Appendix B

References