stochastic optimization problem However under realistic descriptions of utility and uncertainty the optimal consumption/saving …The standard approach to modelling consumption/saving problems is to assume that the decisionmaker is solving a dynamic …

This paper studies the consumption decisions of agents who face costs of acquiring, absorbing and processing … consumption plans. In between updating dates, they remain inattentive. This behaviour implies that news disperses slowly … throughout the population, so events have a gradual and delayed effect on aggregate consumption. The model predicts that …

ascribed to the specific int eraction of consumption and portfolio choice in the determination of growth and welfare. …

two-period consumption and savings model for a loss-averse agent who measures utilityfrom consumption relative to a … of the return on saving. We find non-linearity in the fractionof wealth saved, where the specific saving pattern depends … on the sign of the real return on savings. The amount of saving is nondecreasing in initial wealth and the riskiness of …

is a function of the degree of altruism, the consumption of goods, the costs of donation, the very pleasure of giving …

The purpose of the present paper is to describe the role of uncertainty and technical change in an environmental … context. Which impact does ecological uncertainty have on physical and R&D investments' decisions? How are pollution … trajectories modified when uncertainty is taken into account? To reply to these questions we modify the ETC-RICE model described in …

stochastic pollution tax, which is uncorrelated with the technological uncertainty of pollution, is compared with a pure … uncertainty associated with pollution leads to an increase in abatement activities and therefore supports the corresponding …

uncertainty into Integrated Assessment Models (IAMs). Uncertainty is transformed into a risk-premium, damage-correction, region …. This risk premium quantifies what society would be willing to pay to insure against the uncertainty of the damages, and it …