Bloch, Francis; Genicot, Garance - Society for Economic Dynamics - SED - 2005
resulting transfer norm would then look like this:
ci = fiiyi + 12[
X
k=i;j
(1¡fik)yk +zk]
cj = fijyj + 12[
X
k=i;j
(1¡fik …, any individual i in a component d of size n will
consume
ci = fiiyi + 1n
X
j2d
(1¡fij)yj:
As a particular instance, take …
scheme x: a collection of payments xij( ) from j to i (positive or negative) for every linked pair
ij and every state . The …