Heijdra Foundations of Modern Macroeconomics (Oxford, 2002)

expanded:

(A.153)

(A.154)

(A.155)

state variable x; (t), j =

t there is an additional

(A.156)

is a non-negativity con- le way to deal with these

I

he inequality constraint

(A.158)

(A.159)

(A.160)

(A.161)

eking care of the non- A equation gives the 56). Finally, (A.160) and iriable and the co-state

g (1992, p. 290).

Mathematical Appendix

A.8.4 Literature

Basic: Klein (1998, ch. 15) and Chiang (1992). Intermediate: Dixit (1990, chs 10-11), Intriligator (1971, chs 11-14), Leonard and Long (1992), and de la Fuente (2000, chs 12-13). Advanced: Kamien and Schwartz (1991), Seierstad and Sydsxter (1987), and Chow (1997).

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