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Denote the autarky steady state resource stock by SA and the associated autarky relative price by pA. Suppose we start with an initial stock S(0)
Denote the autarky steady state resource stock by SA and the associated autarky relative price by pA. Suppose we start with an initial stock S(0) > SA. Show using two diagrams the economy's transition towards its autarkic steady state. One diagram should show a couple of temporary Ricardian equilibria; the other should plot dS/dt against S and describe the dynamics. Is this steady state unique
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