To an Axiomatic Model of Rate of Growth

Václav Studený, Ivan Mezník

Department of Applied Mathematics, Faculty of Economics, and Administration, Masaryk University, Brno, Czech Republic.
Institute of Informatics, Faculty of Business and Management, Brno University of Technology, Brno, Czech Republic.

DOI: 10.4236/am.2013.49179                

Abstract

In the paper an axiomatic approach to express rates of growth is presented. The formula is given of rate of growth at a point as the limit case of rate of growth on an interval and the inverse formula is derived to compute present and future value of capital for an integrable rate of growth. Incidentally some inconsistencies in currently used formulas are pointed out.

Keywords

Interest Rate; Inflation Rate; Rate of Growth

Conflicts of Interest

The authors declare no conflicts of interest.

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