Discrete Dynamics in Nature and Society
Volume 2007 (2007), Article ID 29207, 14 pages
doi:10.1155/2007/29207

Complex dynamics in a nonlinear cobweb model for real estate market

Abstract

We establish a nonlinear real estate model based on cobweb theory, where the demand function and supply function are quadratic. The stability conditions of the equilibrium are discussed. We demonstrate that as some parameters varied, the stability of Nash equilibrium is lost through period-doubling bifurcation. The chaotic features are justified numerically via computing maximal Lyapunov exponents and sensitive dependence on initial conditions. The delayed feedback control (DFC) method is applied to control the chaos of system.