A General Equilibrium Model in Which Consumption Takes Time
Chapitre d'ouvrage: This chapter examines a general equilibrium competitive economy with many heterogeneous agents. The key feature of the model is that consumption itself takes time so that a typical household is subject to a financial constraint as well as a time constraint. Using the dividend approach proposed by Le-Van and Nguyen (J Math Econ 43:135−152, 2007), it is shown that the economy possesses at least one autarkic Walrasian equilibrium. Sufficient conditions for the uniqueness of the autarkic equilibrium are then derived. Finally, a specific example is provided to illustrate the working of the model, including the derivation of the equilibrium labour allocation and some comparative static results.
Auteur(s)
Cuong Le-Van, Thi-Do-Hanh Nguyen, Ngoc-Sang Pham, Binh Tran-Nam
Éditeur(s)
- Springer, Singapore
Éditeur(s) scientifique(s)
- Tran-Nam Binh
- Tawada Makoto
- Okawa Masayuki
Titre de l’ouvrage
- Recent Developments in Normative Trade Theory and Welfare Economics. New Frontiers in Regional Science: Asian Perspectives
Date de publication
- 2018
Mots-clés
- General equilibrium
- Heterogeneous households
- Quasi-equilibrium
- Dividend approach
Pages
- 97-124
URL de la notice HAL
Version
- 1
Volume
- 26