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The standard neoclassical growth model with Cobb-Douglas production predicts a monotonically declining saving rate, when reasonably calibrated. Ample empirical evidence, however, shows that the transition path of a country's saving rate exhibits a rising or non-monotonic pattern. In important...
Persistent link: https://www.econbiz.de/10010313216
constraints, limited foresight, and partial commitment. …
Persistent link: https://www.econbiz.de/10010284143
-specific budgets depends on the combination of a demand for commitment and the demand for flexibility resulting from uncertainty about … with minimum-savings rules (another widely-studied form of commitment), and how budgeting depends on the intensity of self …
Persistent link: https://www.econbiz.de/10012215309
-inconsistent fellows. Its magnitude depends on the degree of contractual flexibility and the likelihood of facing temptation. We derive the … of the induced balance between commitment and flexibility. …We study a dynamic model of monopolistic provision of commitment devices to sophisticated, Strotzian decision makers …
Persistent link: https://www.econbiz.de/10010282919
This paper integrates imperfect self-control into the standard model of endogenous growth. Individuals are conceptualized as dual-selves consisting of a long-run planner and a short-run doer. The long-run self can partly control the short-run self´s strife for immediate gratification. It is...
Persistent link: https://www.econbiz.de/10010327625
This paper studies optimal nonlinear pricing for a monopolist when consumers' preferences exhibit temptation and self …-control as in Gul and Pesendorfer (2001a). Consumers are subject to temptation inside the store but exercise self-control, and … those foreseeing large self-control costs do not enter the store. Consumers differ in their preferences under temptation …
Persistent link: https://www.econbiz.de/10010293447
This paper provides the exact analytical solution for the standard model of endogenous growth when consumers have present-biased preferences and make time-inconsistent savings plans, which they revise continuously. It is shown that long-run growth is not necessarily lower under present-biased...
Persistent link: https://www.econbiz.de/10010326825
Dieser Beitrag untersucht den Einfluss von Financial Literacy auf die Altersvorsorge. Zunächst wird in einer theoretischen Analyse ein indirekter Effekt beschrieben. Demnach begünstigt mangelnde Financial Literacy eine Aversion gegen die Beschäftigung mit finanziellen Angelegenheiten. Dadurch...
Persistent link: https://www.econbiz.de/10012112441
The standard neoclassical growth model with Cobb-Douglas production predicts a monotonically declining saving rate, when reasonably calibrated. Ample empirical evidence, however, shows that the transition paths of most countries' saving rates exhibit a statistically significant hump-shaped...
Persistent link: https://www.econbiz.de/10010398423
The contribution of this paper is twofold. First, a thorough presentation of the state of the art of the New Keynesian Macroeconomic model is provided. A discussion of its empirical caveats follows and some recent extensions of the standard model are evaluated in more detail. Second, a key...
Persistent link: https://www.econbiz.de/10010420852