Attanasio, Orazio P.; Paiella, Monica - Dipartimento di Studi Economici "Salvatore Vinci", … - 2008
This paper builds a unifying framework based on the theory of intertemporal consumption choices that brings together the limited participation-based explanation of the C-CAPM poor empirical per- formance and the transaction costs-based explanation of incomplete portfolios. Using the implications...