| Article ID | Journal | Published Year | Pages | File Type |
|---|---|---|---|---|
| 5060549 | Economics Letters | 2012 | 4 Pages |
Abstract
⺠A life-cycle model of consumption with quasi-hyperbolic discounting and imperfect capital market is studied. ⺠We show the existence of non-convexities that may imply discontinuous equilibrium strategies. ⺠We give a complete characterization of savings behavior. ⺠The savings function undergoes jumps and non-monotonicities when the incomes or the interest rates reach threshold values.
Related Topics
Social Sciences and Humanities
Economics, Econometrics and Finance
Economics and Econometrics
Authors
Bertrand Wigniolle,