On the von Neumann economic growth problem

On the von Neumann economic growth problem

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Article ID: iaor20041621
Country: United States
Volume: 20
Issue: 3
Start Page Number: 617
End Page Number: 633
Publication Date: Aug 1995
Journal: Mathematics of Operations Research
Authors:
Abstract:

We study the complexity of the von Neumann economic growth problem: γ*:=max{γ|∃y≠0: y≥0, (B–γA)y≥0}, where A and B are given two nonnegative and rational m × n-matrices, and A has no all-zero column. Let the binary data length of A and B be L. We develop an interior-point algorithm to generate a γ, such that γ*–2–1γ≤γ* in O((m+n)(L+min(m, n)t)) iterations where each iteration solves a system of (m+n) linear equations.

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