A steady state economy is an economy of relatively stable size. It features stable population and stable consumption that remain at or below carrying capacity. The term typically refers to a national economy, but it can also be applied to the economic system of a city, a region, or the entire planet. Note that Robert Solow and Trevor Swan applied the term steady state a bit differently in their economic growth model. Their steady state occurs when investment equals depreciation, and the economy reaches equilibrium, which may occur during a period of growth.
Read more about Steady State Economy: Physical Features, Limits To Economic Growth, History of The Concept, Benefits, Policies For The Transition, Criticisms
Famous quotes containing the words steady, state and/or economy:
“What I admire most in any man is a serene spirit, a steady freedom from moral indignation, and all-embracing tolerance—in brief, what is commonly called sportsmanship.”
—H.L. (Henry Lewis)
“It should be noted that when he seizes a state the new ruler ought to determine all the injuries that he will need to inflict. He should inflict them once and for all, and not have to renew them every day.”
—Niccolò Machiavelli (1469–1527)
“The basis of political economy is non-interference. The only safe rule is found in the self-adjusting meter of demand and supply. Do not legislate. Meddle, and you snap the sinews with your sumptuary laws.”
—Ralph Waldo Emerson (1803–1882)