Author： Chamberlain G. Wilson C.A.
Publisher： Academic Press
ISSN： 1094-2025
Source： Review of Economic Dynamics, Vol.3, Iss.3, 2000-07, pp. : 365-395
Disclaimer: Any content in publications that violate the sovereignty, the constitution or regulations of the PRC is not accepted or approved by CNPIEC.
Abstract
We analyze the optimal consumption program of an infinitely lived consumer who maximizes the discounted sum of utilities subject to a sequence of budget constraints where both the interest rate and his income are stochastic. We show that if the income and interest rate processes are sufficiently stochastic and the long run average rate of interest is greater than or
Related content
Optimal consumption-wealth relationships derived by consumer intertemporal profit maximisation
By Cooper R.J.
Economics Letters, Vol. 50, Iss. 3, 1996-03 ,pp. :
Access to resources
Recommend
Optimal Saving under Poisson Uncertainty
By Wälde K.
Journal of Economic Theory, Vol. 87, Iss. 1, 1999-07 ,pp. :
Optimal fares under uncertainty about airline safety
By Squalli Jay
Applied Economics Letters, Vol. 12, Iss. 4, 2005-03 ,pp. :
Optimal saving rules for loss-averse agents under uncertainty
By Siegmann A.
Economics Letters, Vol. 77, Iss. 1, 2002-09 ,pp. :