Questions tagged [heterogeneity]
The heterogeneity tag has no usage guidance.
4
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Why does a model that is used for policy analysis needs its shocks and parameters to be structural (= invariant) to the shock under consideration?
In their paper, " New Keynesian Models: Not Yet Useful for Policy Analysis"
V. V. Chari, Patrick J. Kehoe, and Ellen R. McGrattan
argue that one needs a structural model in order to analyse the ...
1
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0answers
19 views
Wealth Distribution and market incompletness
From the literature of incomplete market (e.g. Aiyagary 1993,1994), it seems to be the case that:
With complete markets, the capital distribution in the final steady
state depends on the distribution ...
1
vote
1answer
79 views
Can heterogeneous prices be consistent with competitive equilibrium?
I do not want to put many constraints on the structure of the problem, except by defining a competitive equilibrium as such where firms are price takers in the factor and good(s) market, and, perhaps (...
1
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0answers
21 views
Continuum limit of a weighted mean of heterogeneous discount factors
I try to find the limit of the following expression of a weighted mean of a series of discount rate $\rho_{i}$
Here is the expression ;
$$\rho_{\eta}\left(t\right)=\frac{\sum_{i}^{N}\rho_{i}\left(\...
