Explain why uncertainty about these long-run trends can complicate intertemporal planning and policy decisions.

... intertemporal budget constraint, has long been a concern. Download to read ... and C.E. Walsh, 1988, Common trends, the government budget constraint ... 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 ... Nov 26, 2024 ... The government intertemporal budget constraint is a stock-flow relationship determing the debt dynamics. Consider the general case in which ... 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 ... It does not address budget constraints: an impulse to demand from government spending comes out of thin air, rather than being offset by taxation or a cut. 1 ... Aug 31, 2020 ... In its standard form, the intertemporal budget constraint requires the present value of a government's future primary cash surpluses to be ... Try adjusting the two interest rates (for borrowing and saving). Note that each affects one portion of the budget constraint: the rate for borrowing affects the ... Intertemporal budget constraint (IBC): The measure of the rate at which individuals can trade off consumption in one period for consumption in another period. It establishes the link which exists between the prevailing level of government indebtedness and the future debt servicing requirements. An intertemporal budget constraint is a graphical representation of an individual's trade-off between present and future consumption. It shows the combinations ...