Discuss the role of intertemporal optimization in identifying sustainable development paths.

"Are stationarity and cointegration restrictions really necessary for the intertemporal budget constraint?," Journal of Monetary Economics, Elsevier, vol. 54(7) ... ... intertemporal budget constraint considered in a Bewley economy (with a single asset). We also show parameterizations of our model in which we can obtain a ... The intertemporal budget constraint of the central bank in equation (5) becomes: PV (d) ≤ at pt(r + π + δ). − vt + ctL π + g r − g. (6) under the following ... combined with the intertemporal budget constraint, determine the optimal allocation of (c1,t,h1,t,c2,t+1,h2,t+1). 1.1.2 Tax on Capital Mimics Age-Dependent ... ... Intertemporal Budget Constraint (GIBC). Now let's suppose that the only kind of expenditures the government engages in are transfers, so that Xt simply ... to an intertemporal budget constraint. Whatever solution approach one employs — the calculus of variations, optimal control theory or dynamic programming ... It establishes the link which exists between the prevailing level of government indebtedness and the future debt servicing requirements. Jul 2, 2020 ... ... intertemporal budget constraint). But you cannot violate a resource constraint: you can only use up the goods and services that have ... The theoretical model of the intertemporal budget constraint suggests that when the rate of return rises, the quantity of saving may rise, fall, or remain ... The theoretical model of the intertemporal budget constraint suggests that when the rate of return rises, the quantity of saving may rise, fall, or remain the ...