The Asymptotic Behavior in a Nonlinear Cobweb Model with Time Delays

Abstract EN

We study the effects of production delays on the local as well as globaldynamics of nonlinear cobweb models in a continuous-time framework.

Afterreviewing a single delay model, we proceed to two models with two delays.

When the two delays are used to form an expected price or feedback for priceadjustment, we have a winding stability switching curve and in consequenceobtain repetition of stability losses and gains via Hopf bifurcation.

Whenthe two delays are involved in two interrelated markets, we find that thestability switching occurs on straight lines and complicated dynamics canarise in unstable markets.