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that consumption decisions are less efficient when subjects need to borrow from the future than save from the present. When … affects the saving behavior of the subjects. Savings are higher when they are incentivized with matching contributions than …
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Households' and firms' subjective inflation expectations play a central role in macroeconomic and intertemporal microeconomic models. We discuss how subjective inflation expectations are measured, the patterns they display, their determinants, and how they shape households' and firms' economic...
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When solving discrete-time consumption models with present-biased time preferences, backwards induction generates …
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