Economic Growth Model Based On Health Capital Investment

Based on health capital investment,this paper builds a two-period the Diamond overlapping generations economic growth model.First,S-shaped function of probability of surviving is integrated into the Chakraborty's endogenous probability of surviving model and the dynamics of this model is analyzed.It is proved that the discrete dynamical system which describes the model has at least one nonzero equilibrium and at most three nonzero equilibria and undergoes saddle-node bifurcation under some specific parameters.When the system has three nonzero equilibria,the equilibrium with highest per capita capital has highest surviving probability and the equilibrium with lowest per capita capital corresponds to lowest surviving probability and both equilibria are stable;The equilibrium between the the equilibrium with highest and lowest per capita capital is unstable when the model has three equilibria.Therefore,the economy described by the model has multiple growth pathes and appears“poverty trap”.Secondly,the model of the impact of health capital investment on the labor efficiency of the elderly the economic growth model in which is inquired,and it is proved that the dynamic system described by the model has only a unique nonzero equilibrium point,especially in the case of specific parameters,the economic system will appear more complex dynamic phenomena-occur doubling cycle phenomenon,and even chaos phenomenon,this is presented by the numerical simulation.