From 516c2af5a08aca72091731f7f7501b7be0235dd3 Mon Sep 17 00:00:00 2001 From: John Stachurski Date: Sun, 28 Apr 2024 18:00:04 +1000 Subject: [PATCH] misc --- lectures/_toc.yml | 2 +- lectures/scalar_dynam.md | 36 +++++++++++++++++++++++------------- 2 files changed, 24 insertions(+), 14 deletions(-) diff --git a/lectures/_toc.yml b/lectures/_toc.yml index 91ae341f..2ce9b56f 100644 --- a/lectures/_toc.yml +++ b/lectures/_toc.yml @@ -42,8 +42,8 @@ parts: - caption: Nonlinear Dynamics numbered: true chapters: - - file: solow - file: scalar_dynam + - file: solow - file: cobweb - file: olg - file: commod_price diff --git a/lectures/scalar_dynam.md b/lectures/scalar_dynam.md index d642dc6b..8f319cdf 100644 --- a/lectures/scalar_dynam.md +++ b/lectures/scalar_dynam.md @@ -20,22 +20,31 @@ kernelspec: (scalar_dynam)= # Dynamics in One Dimension -```{admonition} Migrated lecture -:class: warning - -This lecture has moved from our [Intermediate Quantitative Economics with Python](https://python.quantecon.org/intro.html) lecture series and is now a part of [A First Course in Quantitative Economics](https://intro.quantecon.org/intro.html). -``` ## Overview -In this lecture we give a quick introduction to discrete time dynamics in one dimension. +In economics many variables depend on their past values + +For example, it seems reasonable to believe that inflation last year with affects inflation this year. + +(Perhaps high inflation last year will lead people to demand higher wages to +compensate, which will feed into higher prices this year.) + +Letting $\pi_t$ be inflation this year and $\pi_{t-1}$ be inflation last year, we +can write this relationship in a general form as -* In one-dimensional models, the state of the system is described by a single variable. -* The variable is a number (that is, a point in $\mathbb R$). +$$ \pi_t = f(\pi_{t-1}) $$ -While most quantitative models have two or more state variables, the -one-dimensional setting is a good place to learn the foundations of dynamics -and understand key concepts. +where $f$ is some function describing the relationship between the variables. + +This equation is an example of one-dimensional discrete time dynamic system. + +In this lecture we cover the foundations of one-dimensional discrete time +dynamics. + +(While most quantitative models have two or more state variables, the +one-dimensional setting is a good place to learn foundations +and understand key concepts.) Let's start with some standard imports: @@ -44,6 +53,7 @@ import matplotlib.pyplot as plt import numpy as np ``` + ## Some definitions This section sets out the objects of interest and the kinds of properties we study. @@ -148,7 +158,7 @@ Equation {eq}`sdsod` is sometimes called a **first order difference equation** ### Example: a linear model One simple example of a dynamic system is when $S=\mathbb R$ and $g(x)=ax + -b$, where $a, b$ are constants (sometimes they are referred as parameters). +b$, where $a, b$ are constants (sometimes called ``parameters''). This leads to the **linear difference equation** @@ -205,7 +215,7 @@ This made analysis of dynamics very easy. When models are nonlinear, however, the situation can be quite different. -For example, the law of motion for the Solow-Swan growth model, a simplified version of which is +For example, in a later lecture {doc}`solow`, we will study the Solow-Swan growth model, which has dynamics ```{math} :label: solow_lom2