In this paper I study the role of generational differences in saving. My main evidence is an empirical analysis based on Norwegian data that show a tendency for older birth cohorts to have higher saving rates, but that the differences are small and statistically insignificant. Consequently, the...

This paper has a dual purpose. First, I present a new modeling of partial naivete, and apply this to the analysis of procrastination. The decision maker is assumed to have stationary behavior and to be partially naive in the sense of perceiving that his current preferences may persist in the...

China's growth is characterized by massive capital accumulation, made possible by high and increasing domestic savings. In this paper we develop a model with the aim of explaining why savings rates have been high and increasing, and we investigate the general equilibrium effects on capital...

The aim of this paper is to investigate income, saving and consumption for households around retirement age. When doing this, there are different objectives which can be analyzed. First of all it is possible to get some insight of welfare of elderly when they reach retirement. Second, it is...

This paper reconciles neoclassical models of economic growth ("Solow") with the formation of social classes during economic transition ("Marx"). An environment with missing capital markets and no labor divisibility is shown to lead to a steady state with no aggregate inefficiencies, but a very...

In this paper the effects on aggregate consumption of changes in the age distribution of the population are analysed empirically. Economic theories predict that age influences individuals’ saving and consumption behaviour. Despite this, age structure effects are rarely controlled for in...

This paper studies the determinants of inequality in an infnitehorizon general equilibrium model. Missing capital markets decreases motivations for capital accumulation among the poor, while uncertainty about future income leads to precautionary savings. The different returns to saving faced by...

This paper analyses the default option typical to American mortgages. House-holds borrow to buy durable housing, but future house prices are uncertain, and households find it advantageous to default on their debt if house prices fall suffi- ciently. A key assumption of the model is that...

The Generalized Method of Moments (GMM) is discussed for handling the joint occurrence of fixed effects and random measurement errors in an autoregressive panel data model. Finite memory of disturbances, latent regressors and measurement errors is assumed. Two specializations of GMM are...