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:
“In youth the human body drew me and was the object of my secret and natural dreams. But body after body has taken away from me that sensual phosphorescence which my youth delighted in. Within me is no disturbing interplay now, but only the steady currents of adaptation and of sympathy.”
—Haniel Long (1888–1956)
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—Alexander Herzen (1812–1870)