Numerical continuation methods: an introduction
Numerical continuation methods: an introduction
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The paper discusses an approach to comparative statics in the large by making use of a homotopy continuation method.This is based on the path-following approach presented bythe author which is in turn due to the fixed-point algorithmexplored by Garcia and Zangwill. We investigate from a global viewpoint the Hicksian laws of comparative statics for the Hicksian case which is a key to the first Hicksian law at least locally, and obtain the first Hicksian law in the large. Global results for the dominant diagonal case andthe G_1-Metzlerian case are also obtained.