Complex Dynamics in a Growth Model with Corruption in Public Procurement

Figure 2

Region of local stability of the fixed points and of the two-period cycles in the parameters’ plane (𝛼,𝜇) being 𝑛=1.1, 𝛿=0.5Δ𝑐=1, 𝑠=0.3, 𝜌=0.3, and Δ𝐴=0.1 and the initial condition 𝑚₀=𝑚_min and 𝑘₀>0. In region 𝑀𝑐 the fixed point 𝑀_𝑐 is a stable node; in region 𝑀 the fixed point 𝑀 is a stable node; in region 𝐶2 the two-period cycle 𝐶₂ is stable; in region 𝐶^′2 the two-period cycle 𝐶^′₂ is stable while in CD more complex dynamics can be exhibited.