In a world where labor earnings are uncertain and borrowing-constraints are present, progressive taxation is likely to have risk-mitigating benefits for consumption-smoothing agents; higher tax paymen ...
This paper examines the consequences of introducing an idiosyncratic uncertain interest rate in a standard life-cycle model à la Auerbach and Kotlikoff (1987).
This paper investigates the importance of the usual assumption of divisibility. In the labor market a finite set of choices is introduced: between working full or part-time or not to work at all.
The purpose of this paper is to investigate whether conventional wisdom, based on the standard model with exponential discounting, also holds in the case where consumers have hyperbolic discount funct ...
This appendix contains a short introduction to numerical methods and describes how to solve finite horizon dynamic programming in C++.
Based on generational accounts and a simple welfare calculus, this paper studies two alternative scenarios of sustainable fiscal policy.