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J. Alonso-Carrera, J. Caballé and X. Raurich, “Growth, Habit Formation, and Catching Up with the Joneses,” European Economic Review, Vol. 49, No. 6, 2005, pp. 1665-1691.doi:10.1016/j.euroecorev.2004.03.005

has been cited by the following article:

• TITLE: On the Closed-Form Solution to the Endogenous Growth Model with Habit Formation

  AUTHORS: Ryoji Hiraguchi

  KEYWORDS: Endogenous Growth; Closed-Form Solution; Habit Formation

  JOURNAL NAME: Theoretical Economics Letters, Vol.2 No.4, November 1, 2012

  ABSTRACT: We study the AK growth model with external habit formation. We show that there exists a unique solution path expressed in terms of the Gauss hypergeometric function. Using the closed-form solution, we also show that the optimal path converges to a balanced growth path.