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Stable solutions to homogeneous difference-differential equations with constant coefficients: Analytical instruments and an application to monetary theory. (English) Zbl 1099.39009
The paper generalizes a model from monetary economics by U. von Kalckreuth and J. Schröder [Review of Economics 53, 125–141 (2002)]. It is a monetary macroeconomic model which includes homogeneous linear differential-difference equations with constant coefficients. The paper deals with a method of determining the stability of solutions for such equations using a theorem by E. Hilb [Math. Ann. 78, 137–170 (1917; JFM 46.0707.02)]. The resulting method is rather general and can be applied to a large class of dynamical problems. In the paper the method is applied just to the dynamic model of monetary transmission at hand and some conclusions are drawn.
39A11 Stability of difference equations (MSC2000)
39B99 Functional equations and inequalities
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