Intertemporal equilibrium with financial asset and physical capital

Cuong Le Van () and Ngoc-Sang Pham
Additional contact information
Cuong Le Van: Paris School of Economics, VCREME

Economic Theory, 2016, vol. 62, issue 1, No 8, 155-199

Abstract: Abstract We build an infinite-horizon dynamic deterministic general equilibrium model with imperfect markets (borrowing constraints), in which heterogeneous agents invest in capital or/and financial asset and consume. There is a representative firm which maximizes its profit. Firstly, the existence of intertemporal equilibrium is proved even if aggregate capital is not uniformly bounded. Secondly, we study the interaction between the financial market and the productive sector. We also explore the nature of physical capital bubble and financial asset bubble as well.

Keywords: Infinite horizon; Intertemporal equilibrium; Financial friction; Productivity; Efficiency; Fluctuation; Financial bubbles; Physical bubbles (search for similar items in EconPapers)
JEL-codes: C62 D31 D91 E44 G10 (search for similar items in EconPapers)
Date: 2016
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (38)

Downloads: (external link)
http://link.springer.com/10.1007/s00199-015-0881-z Abstract (text/html)
Access to the full text of the articles in this series is restricted.

Related works:
Working Paper: Intertemporal equilibrium with financial asset and physical capital (2016)
Working Paper: Intertemporal equilibrium with financial asset and physical capital (2016)
Working Paper: Intertemporal equilibrium with financial asset and physical capital (2016)
Working Paper: Intertemporal equilibrium with financial asset and physical capital (2015)
Working Paper: Intertemporal equilibrium with financial asset and physical capital (2015)
Working Paper: Intertemporal equilibrium with financial asset and physical capital (2014)
Working Paper: Intertemporal equilibrium with financial asset and physical capital (2014)
Working Paper: Intertemporal equilibrium with financial asset and physical capital (2014)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:spr:joecth:v:62:y:2016:i:1:d:10.1007_s00199-015-0881-z

Ordering information: This journal article can be ordered from
http://www.springer. ... eory/journal/199/PS2

DOI: 10.1007/s00199-015-0881-z

Access Statistics for this article

Economic Theory is currently edited by Nichoals Yanneils

More articles in Economic Theory from Springer, Society for the Advancement of Economic Theory (SAET) Contact information at EDIRC.
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().