Decreasing in Population and Economic Fluctuation

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  • 人口減少と経済変動
  • 人口減少と経済変動(1)
  • ジンコウ ゲンショウ ト ケイザイ ヘンドウ(1)

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Abstract

In this paper, I consider the effect on economy given by decreasing in population. To begin with Solow model, the model is assumed growing population. But If growth rate of population decreases, then the economy loses the stable equilibrium and only an unstable equilibrium comes out. While in Hicks’ business cycle model, increase in population is a required condition. An increase in population brings about the recovery process. If population is decreased, then the recovery does not emerge. To keep off these accidents, I insist on necessity of increasing productivity.

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