Krainer, John (contributor); Marquis, Milton H. (contributor) - 2003 - [Elektronische Ressource]
-value awards for this contract by {˜cj2,wj2}. If the inequality
in (23) below holds, then the consumption and promised-value awards …
would remain unchanged:
U(˜cj2, ¯z) + βwj2 = d2 < d1 = U(˜c1, ¯z) + βw1. (23)
If the inequality in (23) were reversed, then … conditions that would cause the inequality of equation
(23) to reverse will in general lead to the household exercising the …