Template-type: ReDIF-Paper 1.0
Author-Name: Manjira Datta
Author-Email: Manjira.Datta@asu.edu
Author-Homepage: http://wpcarey.asu.edu/Directory/stafffaculty.cfm?cobid=1039626
Author-Workplace-Name: W. P. Carey School of Business Department of Economics
Author-Workplace-Homepage: http://wpcarey.asu.edu/ecn/

Title: Optimal Accumulation in a Small Open Economy with Technological Uncertainty
Abstract: This paper analyzes the optimal allocation problem of a small country facing an uncertain technology and trading. It is involved in production of many commodities. Differentiability cannot be guaranteed, hence, the Ramsey-Euler condition of optimality needs to be modified. From the optimality criterion, we derive a pair of conditions, which does not require differentiability. If ‘enough’ uncertainty is allowed, the sequence of the distribution functions of investment expenditure converges uniformly to a unique invariant measure.		
Classification-JEL: C61, D90, O41
Keywords: 
File-URL:http://wpcarey.asu.edu/tools/mytools/pubs_admin/FILES/wp97_9.pdf
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Handle: RePec:asu:wpaper:2132840