Growth and distribution in a model with endogenous time preferences and borrowing constraints

Borissov, Kirill

doi:10.1016/j.mathsocsci.2013.03.003

Cited by 12 publications

(14 citation statements)

References 34 publications

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“…Модель эндогенного роста, предложенная в (Borissov, Lambrecht, 2009;Borissov, 2013), рационализирует гипотезу Дьюзенберри и исследует, к чему приводят общество социально обусловленные коэффициенты дисконтирования. В этой модели общий выпуск в экономике линейно зависит от суммарного запаса капитала, а потребительский сектор представлен несколькими агентами, которые одинаковы по всем своим параметрам и различаются только своими начальными запасами сбережений: кто-то изначально немного богаче, а кто-то беднее.…”

Section: социально обусловленные межвременные предпочтенияunclassified

A Division of Society into the Rich and the Poor: Some Approaches to Modeling

Borissov¹,

Pakhnin²

2018

JNEA

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О некоторых подходах к моделированию деления общества на бедных и богатых Аннотация. В последнее время экономисты проявляют все больший интерес к проблемам распределения доходов и богатства внутри общества. Об этом, в частности, свидетельствует популярность книги Т. Пикетти «Капитал в XXI веке». Недавние эмпирические исследования показывают, что в разных странах увеличивается разрыв между бедными и богатыми. Это требует от экономистов-теоретиков ответов на многие важные вопросы. Откуда возникает экономическое неравенство? Как оно зависит от уровня развития и темпа экономического роста? И наоборот, как неравенство влияет на экономическую динамику? В данной работе мы даем обзор некоторых теоретических моделей экономического роста, посвященных проблемам распределения доходов и богатства в рыночных экономиках. Эти модели показывают, что в долгосрочной перспективе общество неизбежно делится на два неравных класса. Одни потребители накапливают капитал и в итоге становятся владельцами всего богатства в экономике, в то время как другие проедают имеющиеся у них сбережения. Таким образом, можно говорить о том, что механизмы, которые делят общество на бедных и богатых, в каком-то смысле имманентно присущи чисто рыночной экономике.

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Section: социально обусловленные межвременные предпочтенияunclassified

A Division of Society into the Rich and the Poor: Some Approaches to Modeling

Borissov¹,

Pakhnin²

2018

JNEA

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“…2. Borissov and Lambrecht (2009) and Borissov (2013) propose another rationalization of the Duesenberry approach; they consider an AK-model with endogenous time preferences and assume that the rich are more patient than the poor.…”

Section: Notesmentioning

confidence: 99%

The Rich and the Poor in a Simple Model of Growth and Distribution

Borissov

2016

Macroecon. Dynam.

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We consider a model of economic growth with altruistic agents who care about their consumption and the disposable income of their offspring. The agents' consumption and the offspring's disposable income are subject to positional concerns. We show that, if the measure of consumption-related positional concerns is sufficiently low and/or the measure of offspring-related positional concerns is sufficiently high, then there is a unique steady-state equilibrium, which is characterized by perfect income and wealth equality, and all intertemporal equilibira converge to it. Otherwise, in steady-state equilibria, the population splits into two classes, the rich and the poor; under this scenario, in any intertemporal equilibrium, all capital is eventually owned by the households that were the wealthiest from the outset and all other households become poor.

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“…He provides a full solution for an agent who reconsiders her consumption path at each instant of time, i.e., he implicitly assumes a naive agent and obtains a naive path. 5 Barro also raises the question of observational equivalence, i.e., whether consumption paths are the same under hyperbolic and exponential discounting. He shows observational equivalence for a naive path under logarithmic utility and any concave production function.…”

Section: Introductionmentioning

confidence: 99%

“…4 Each of these assumptions allows also to study sophisticated paths under varying levels of commitment possibilities (see Sorger, 2007), as well as for agents who are heterogeneous in their time preferences (see Drugeon and Wigniolle, 2019). 5 Barro considers a naive agent, but since under logarithmic utility the propensity to consume is constant, his solution looks like a time-consistent one. Perhaps, this is the reason why many subsequent authors mistook Barro's naive agent for a sophisticated agent.…”

Section: Introductionmentioning

confidence: 99%

Naive Agents with Quasi-hyperbolic Discounting and Perfect Foresight

2020

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We consider the Ramsey growth model with quasi-hyperbolic discounting where the agent cannot commit to future actions and is naive about her time inconsistency. We study the problem of observational equivalence, i.e., whether consumption paths are the same under quasi-hyperbolic and exponential discounting. To describe the behavior of a naive agent in a general equilibrium framework, we introduce the notion of a sliding equilibrium path and distinguish between two natural types of expectations: pseudo-prefect foresight and perfect foresight. Under pseudo-prefect foresight an agent at each date recalculates both her consumption path and expectations about prices, while under perfect foresight an agent correctly foresees prices on a sliding equilibrium path and is naive only about her time inconsistency. The main contribution of this paper is the study of a sliding equilibrium path under perfect foresight. We prove its existence for a general isoelastic utility function and show that, except for the well-known cases of a constant interest rate or logarithmic utility, there is no observational equivalence in general. In a number of important cases we also compare sliding equilibria under pseudo-perfect and perfect foresight in terms of long-run macroeconomic variables, and show that perfect foresight implies a higher capital stock and a higher consumption level than pseudo-perfect foresight.

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Growth and distribution in a model with endogenous time preferences and borrowing constraints

Cited by 12 publications

References 34 publications

A Division of Society into the Rich and the Poor: Some Approaches to Modeling

A Division of Society into the Rich and the Poor: Some Approaches to Modeling

The Rich and the Poor in a Simple Model of Growth and Distribution

Naive Agents with Quasi-hyperbolic Discounting and Perfect Foresight

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