Intro to Mathematical Economics
Bifurcation points are critical values in a dynamical system where a small change in parameters leads to a sudden qualitative change in its behavior or the number of equilibria. These points are significant because they indicate transitions in stability, often leading to multiple possible outcomes, such as stable and unstable equilibria or periodic solutions. Understanding bifurcation points helps in analyzing complex systems and their stability, particularly when examining how systems respond to varying conditions.
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