The Econometric SocietyEdited by: Guido W. Imbens • Print ISSN: 0012-9682 • Online ISSN: 1468-0262
Econometrica: May, 2010, Volume 78, Issue 3
https://doi.org/10.3982/ECTA7920
p. 1127-1141
V. Filipe Martins‐da‐Rocha, Yiannis Vailakis
This paper proves the existence and uniqueness of a fixed point for local contractions without assuming the family of contraction coefficients to be uniformly bounded away from 1. More importantly it shows how this fixed‐point result can apply to study the existence and uniqueness of solutions to some recursive equations that arise in economic dynamics.
December 4, 2024
