Library Introduction to The Economic Theory 6 doc

... insurance markets: The cause of the inefficiency is that individuals disregard the effect of their actions on the equilibrium rate of return on annuities. Essentially, these distortions are due to asymmetric ... = 5 M = 0 M = 5 c .89 .68 . 86 .66 1 − c .11 .32 .14 .34 W 5.37 10.14 6. 91 11.31 The values chosen for ρ take into account that social security (SS) benefits provide (in...

Ngày tải lên: 21/06/2014, 16:20

... has to take into account that over time these changes affect the population’s age density function (this is called the age composition effect in contrast to the response of individuals, called the ... savers, the first effect tends to reduce aggregate savings while the second effect tends to raise their level. We shall provide conditions that ensure that the latter effect...

Ngày tải lên: 21/06/2014, 15:20

... include the appropriate allowance for the additional benefit. (Fisher and Young, 1 965 , p. 420.) The behavioral aspect (disappointment) may indeed be a factor in the success of these annuities in the ... Pension Annuity (in $). Period=certain Age 50 Age 65 Age 70 MFMFMF 0-year 514 492 65 5 60 5 747 67 7 10-year 509 490 63 0 592 69 4 64 9 20-year 498 484 569 555 591 583 Notes:...

Ngày tải lên: 21/06/2014, 16:20

... 0.992983 66 0.955 567 0.9723 36 0.9770 86 0.985 266 67 0.931401 0.9 568 73 0. 964 103 0.9 769 22 68 0.9 063 03 0.940484 0.949935 0. 967 8 86 69 0.880455 0.923244 0.934490 0.9581 16 70 0.853800 0.9050 86 0.91 769 7 0.947530 71 ... 0.8 261 72 0.885875 0.899490 0.9 360 04 72 0.797493 0. 865 541 0.879829 0.9233 86 73 0. 767 666 0.843998 0.85 867 8 0.9094 96 74 0.7 365 89 0.821157 0.8359...

Ngày tải lên: 21/06/2014, 16:20

... decreases the retirement age. The optimum level, ˆ a(M), is chosen by maximizing (6. 11) with respect to c and a(M). As in section 6. 3, it is not possible to determine whether, at the optimum, the chosen ... available and the gap between the optimum consumption trajectory and the flow of annuity payouts leads to the holding of other assets. While no apparent reason see...

Ngày tải lên: 21/06/2014, 16:20

... 1: max a 0 ≥0 E[u( ˆ c 1 ) + pu( ˆ c 2 )] ( 16. 9) subject to ( 16. 6). By the envelope theorem, the first-order condition is −E [u  ( ˆ c 1 )]q 0 + E [pu  ( ˆ c 2 )] = 0. ( 16. 10) Denote the optimum amount of period ... and another exercisable ten years later . . [Such] differences in guaranteed annuity rates according to the future date on which they are exercisable do therefo...

Ngày tải lên: 21/06/2014, 16:20

... and economics. Journal of Economic Literature 36: 11– 46. Ramsey, F. P. 1927. A contribution to the theory of taxation. Economic Journal 37(145): 47 61 . Rothschild, M., and J. Stiglitz. 19 76. Equilibrium ... 109; competitive equilibrium and, 65 ; defined, 56; exponential survival functions and, 65 66 ; first best equilibrium and, 56 58; long-term annuities and, 62 66 ; lower l...

Ngày tải lên: 21/06/2014, 16:20

... of the greatest accom- plishments in the electron theory of metals since the advent of the Sommerfeld free-electron theory. Naturally, the higher the superconducting transition tem- perature, the ... of the electron theory of metals In this section, the reader is expected to grasp only the main historical land- marks of the subject without going into details. The...

Ngày tải lên: 24/04/2014, 17:13

... Whole soil The whole soil morphological attributes (Table 2) indicate that the degree of development of the three soils increases from the Shaver, to the Musick, to the Jimmerson series. The Shaver ... even more light on the nature of the materials that form the earth we live on. The ancient Greek philosopher Aristotle was one of the first people to theorize ext...

Ngày tải lên: 29/06/2014, 09:20

... architecture thus had their expression given to them arbitrarily. The cottage, the bridge, the castle were they intended to look pathetic, bold, romantic or is the due expression inherent in the thing itself, so far as it is right and true? It would be difficult ... all true building touches depths of feeling and opens the gates of wonder. The men who first balanced one ston...

Ngày tải lên: 29/06/2014, 16:20