How do expected future social security benefits affect private saving decisions?

• Sequential budget constraint for all t ∈ T: ct + st ≤ et + Rtst−1. (1) where s−1 ≡ ¯s−1. • Incomes, returns, and initial capital determine budget set:. The basic idea of intertemporal choice of consumption is to understand how the consumer interacts with the capital market. II. INTERTEMPORAL BUDGET CONSTRAINT. Download scientific diagram | 1: Intertemporal budget constraint and selection of the retirement age a. High-income earner b. 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 ... Sep 29, 2020 ... Abstract. This paper uses the intertemporal government budget constraint model, linear logarithmic functions (for better regression results) ... The intertemporal budget constraint is a concept in behavioral economics that describes the trade-offs individuals face when making consumption and savings ... 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 ... The intertemporal budget constraint refers to the trade-off between current and future consumption that individuals face, given their current income and future ... It establishes the link which exists between the prevailing level of government indebtedness and the future debt servicing requirements. The intertemporal budget constraint proves to be satisfied if either the debt series or the revenue and with-interest spending series are integrated of ...