How do decisions about replacing durable goods affect household budgets over time? What are the implications of financial literacy for managing one's intertemporal budget constraint?

Sep 28, 2020 ... The inter-temporal budget constraints model was used to examine the various fiscal reaction functions, debt dynamics and fiscal policy ... to an intertemporal budget constraint. Whatever solution approach one employs — the calculus of variations, optimal control theory or dynamic programming ... Apr 28, 2024 ... I talk about how to derive an Intertemporal Budget Constraint from a Flow Budget Constraint. Timestamps: 0:00 - Review of Flow Budget Constraint ... 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 ... Jul 25, 2007 ... ... constraint' and ... The author does so by analysing separately the intertemporal budget constraints of the central bank and the Treasury. Mar 5, 2021 ... This budget constraint equation represents an individual planning her consumption over two periods (before retirement o, after retirement 1). An intertemporal budget constraint is a graphical representation of an individual's trade-off between present and future consumption. It shows the combinations ... intertemporal budget constraint proceeds as in the proof of Proposition 1. Moreover, we can again show that the hypothesized plan for each unit satisfies ... Bt+1 = (1 + r) Bt + Gt. Tt. (1) where B is the stock of bonds issued by the government (that is B is the stock of real debt - which is an asset in the hand ... ... intertemporal budget constraint. It is argued that unit root or cointegration tests have low power in rejection unit root from near unit root alternatives ...