How does discounting future values work in the intertemporal budget constraint?

May 3, 2011 ... Because of the government's intertemporal budget constraint, Gt will have to be compensated by taxes, either now or in the future, and the ... The intertemporal budget constraint implies that D, Q = (1 + r) × (Q,. 와. (1 + r) × (Q, − 1),), so that trade is intertemporally balanced. Figure 7A-3 shows ... Intertemporal budget constraint (IBC): The measure of the rate at which individuals can trade off consumption in one period for consumption in another period. ... intertemporal budget constraint of the consolidated government sector (central bank and governments). This is the consequence of the constraint being a ... to an inter-temporal budget constraint, stock of assets, and limits on borrowing. If, at an instant of time, returns to capital are relatively high, the ... 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 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 ... Aug 26, 2009 ... intertemporal budget constraint and thus determine the dynamics of the debt ratio. ... data are constructed using the government intertemporal ... The intertemporal budget constraint proves to be satisfied if either the debt series or the revenue and with-interest spending series are integrated of ... ... Intertemporal Budget Constraint (GIBC). Now let's suppose that the only kind of expenditures the government engages in are transfers, so that Xt simply ...