Abstract:
This paper introduces a way of modelling bounded continuously distributed time lags in dynamic economic models.
Past data are averaged only over a bounded interval thus avoiding the use of very old ("stale") economic data and
hence making dynamic economic models more realistic. Dynamic oligopolies are formulated and then examined under
this new type of information lag. Stability analysis is presented and the possibility of the birth of limit cycles is examined.
Some special cases are considered, the computational analysis of which illustrates the theoretical findings.
