We suggest a dynamic generalization of the simplest static hierarchical mix
ed model introduced by Shnirman and Blanter [Phys. Rev. Lett. 81, 5445 (199
8); Phys. Rev. E. 60. 5111 (1998). We show that the stationary solution of
the dynamic mixed model (DMM) demonstrates, in general, a linear form of th
e magnitude-frequency relation and may be considered a self-organized criti
cal system. The dynamic mixed model demonstrates three principal kinds of s
ystem behavior: stability, catastrophe. and scale invariance. We show that
the catastrophic area exists for all parameters of the mixture. and obtain
three analytical expressions for boundary conditions of the stability and t
he scale invariance domains. As in the static model scale invariance appear
s as a result of a strong heterogeneity of the mixture. We describe how the
magnitude-frequency relation reflects parameters of the heterogeneity and
heating conditions for different domains of system behavior. Deviation of t
he DMM from the static mixed model and possible applications to earthquake
prediction are discussed.