| Abstract: |
| In this paper, we have derived the exact solutions of finance-extended Lucas-Uzawa (FELU) model by Partial Hamiltonian Approach. First, we have constructed two first integrals for fairly general values of parameters by utilizing a Partial Hamiltonian Approach. We utilize both first integrals to find the exact solutions for the FELU model. For the special case when the inverse of the intertemporal elasticity of substitution is equal to the share of physical capital, the exact solution for the model under study is same as one derived by Bucci and Marsiglio (2018). The relationship between financial development and imbalance effects is studied in detail. |
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