Title

A ‘Dual’-Improved Shortcut to the Long Run

Authors

Kareen Rozen

Document Type

Discussion Paper

Publication Date

3-1-2008

CFDP Number

1643

CFDP Pages

29

Abstract

I use the theories of duality and optimal branchings to find a necessary and sufficient characterization of stochastically stable limit sets (SSLS) that helps improve the radius — modified coradius test of Ellison (2000). The improved shortcut I offer may permit the identification of SSLS when Ellison’s radius — modified coradius test fails to identify any, or may be able to pinpoint the true SSLS in cases where Ellison’s test identifies only a superset. I also demonstrate precisely why the radius — modified coradius test is not universally applicable and illuminate the connection between the modified coradius and the Lagrange multipliers of the optimal branching problem.

This document is currently not available here.

Share

COinS