MATLAB model reveals how poverty traps can be avoided in society
The article explains how researchers used a simple OLG model in MATLAB to study capital accumulation and economic dynamics. They looked at how individuals in different generations interact in the economy, focusing on issues like overaccumulation and poverty traps. By simulating the model, they found that certain parameter values can lead to multiple equilibria, affecting the overall economic outcomes. This study helps us understand how economic decisions made by one generation can impact the well-being of future generations.