Modeling the Unpredictable Growth of Agricultural Monopolies' Output and Corporation Tax

Abstract

The primary objective of this work is to provide a basic model for the production growth of a chaotic agricultural monopoly that may produce stable equilibria, cycles, or anarchy. In this work, one important hypothesis is that the coefficient π= f ( 1 -n ) (a - d) is very important for understanding the local stability of the output of an agricultural monopoly. Here, d is the coefficient of the firm's total cost function, an is the coefficient of the inverse demand function, n is the corporation tax rate, and f is the coefficient that represents the relationship between the after-tax profit of the firm in period t and the output of the firm in period t+1. The Agricultural Monopoly Firm, Agricultural Output, Corporation Tax, and Chaos are all related terms.