Explain how innovation can create new consumption possibilities and improve productivity over time.

An intertemporal budget constraint is a graphical representation of an individual's trade-off between present and future consumption. It shows the combinations ... Keywords: current account deficits, sustainability, intertemporal budget constraint ... sustainability of the intertemporal budget constraint: – when there is no ... Jul 25, 2007 ... ... constraint' and ... The author does so by analysing separately the intertemporal budget constraints of the central bank and the Treasury. how is the deficit financed? • bond sales to the private sector or the central bank (money creation). • government inter-temporal ... Nov 24, 2024 ... My hot take is that this isn't a trivial intertemporal budget constraint. It's an optimal stopping problem: cakes have evolving texture and ... Sep 13, 2018 ... price level in line with the intertemporal budget constraint (in real terms). In equilibrium, monetary and fiscal policies jointly ensure ... intertemporal budget constraint as those which we present to satisfy both the intertemporal budget constraint and fiscal limits. Bohn (2007) argued that ... 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 ... US monthly data, for the period 1951-1984, are used to test a key element of the. Ricardian equivalence doctrine, namely the government's intertemporal budget. If, for example, the current stock of debt is zero, then the intertemporal budget constraint says that the discounted present value of future primary surpluses ...