Mathematics for Economists

Phase diagram

A focus

x^0 =



1 /2 1

1 1 / 2



x

x ' = A x + B yy ' = C x + D y A = - 1/2C = - 1 B = 1D = - 1/2

-5 -4 -3 -2 -1 0 1 2 3 4 5

-5

-4

-3

-2

-1

0

1

2

3

4

5

x

y