Abstract
In this paper, we explore the effects of temporary policy in a dynamic general equilibrium by using Neumeyer and Yano's money-in-utility model. Even under dynamic interaction between consumers through markets, the impact of temporary policy both on the present and future economy is very small if the long-run interest rate level is low, which coincides with the intuitive explanation by the permanent income hypothesis.
Information
Published: 1 January 2009
First available in Project Euclid: 28 November 2018
zbMATH: 1183.91093
MathSciNet: MR2582410
Digital Object Identifier: 10.2969/aspm/05310113
Keywords:
dynamic general equilibrium
,
many consumers
,
temporary policy
Rights: Copyright © 2009 Mathematical Society of Japan
