Gobert, Karine; Poitevin, Michel - Centre Interuniversitaire de Recherche en Analyse des … - 1997
environment without commitment. A savings account is introduced into the self-enforcing risk-sharing model of Thomas and Worrall … (1988). The risk averse agent's savings play the role of a collateral, thereby improving consumption smoothing. Furthermore …, the optimal use of the savings account relaxes the other agent's self-enforcing constraints. These results depend on the …