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This paper studies the consumption decisions of agents who face costs of acquiring, absorbing and processing information. These consumers rationally choose to only sporadically update their information and re-compute their optimal consumption plans. In between updating dates, they remain...
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We construct a general equilibrium model with home production where consumers choose how to spend their off-market time using market consumption purchases. The time-intensities and productivities of different home production activities determine the degree to which variation in income and...
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this fuel flexibility benefit requires the purchase of additional battery capacity relative to most other vehicles. We … value the fuel flexibility of PHEVs by representing the purchase of the battery as the purchase of a strip of call options … analysis does not raise the retail price at which the battery pays for itself by more than $50/kWh (or by more than 15%). A …
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