Showing 1 - 10 of 16
We consider an overlapping generations model à la Diamond (1965) with two additional ingredients: altruism and an asset (or land) bringing non-stationary positive dividends (or fruits). We study the global dynamics of capital stocks and asset values as well as the interplay between them. Asset...
Persistent link: https://www.econbiz.de/10015259223
We build a dynamic general equilibrium model with heterogeneous producers and financial frictions (collateral constraints and incompleteness). First, we provide a characterization to check whether a sequence is an equilibrium or not. Second, we study the effects of financial imperfections on...
Persistent link: https://www.econbiz.de/10015259455
In characterizing the existence of general equilibrium, existing studies mainly draw on Brouwer and Kakutani fixed point theorems and, to some extent, Gale-Nikaido-Debreu lemma. In this paper, we show that Sperner lemma can play a role as an alternative powerful tool for the same purpose....
Persistent link: https://www.econbiz.de/10015211974
In this paper we use only Sperner’s lemma to prove the existence of general equilibrium for a competitive economy with production or with uncertainty and financial assets. We show that the direct use of Sperner’s lemma together with Carathéodory’s convexity theorem and basic properties of...
Persistent link: https://www.econbiz.de/10015222814
Productivity is a key concept in economics and crucial for economic growth. By using different theoretical models, we show the role of several kinds of productivity, including total factor productivity (TFP) and labor productivity.
Persistent link: https://www.econbiz.de/10015234844
We study the existence of equilibrium when agents’ preferences may not be convex. For some specific utility functions, we provide a necessary and sufficient condition under which there exists an equilibrium. The standard approach cannot be directly applied to our examples because the demand...
Persistent link: https://www.econbiz.de/10015238162
This paper investigates the nexus between foreign aid (in the form of loans), poverty trap, and economic development in a recipient country by using a Solow model with two new ingredients: a development loan and a fixed cost in the production process. The presence of this fixed cost generates a...
Persistent link: https://www.econbiz.de/10015261282
In this paper, we use Sperner’s lemma to prove the existence of general equilibrium for a competitive economy with production or with uncertainty and financial assets. We then show that the direct use of Sperner’s lemma together with Carathéodory’s convexity theorem and basic properties...
Persistent link: https://www.econbiz.de/10015261324
We introduce a class of differentiable, strictly increasing, strictly concave utility functions exhibiting an explicit demand of a good which may have Giffen behavior. We provide a necessary and sufficient condition (bases on prices and consumers’ preferences and income) under which this good...
Persistent link: https://www.econbiz.de/10015263380
We introduce a class of differentiable, strictly increasing, concave utility functions exhibiting an explicit demand of a good which may have Giffen behavior. We provide a necessary and sufficient condition (bases on prices and consumers’ preferences and income) under which this good is...
Persistent link: https://www.econbiz.de/10015264919