On a Simple Equilibrium with Heterogeneous Quasi-Hyperbolic Discounting Agents

Sur un équilibre simple avec des agents d’escompte hétérogènes quasi-hyperboliques

Jean-Pierre Drugeon () and Bertrand Wigniolle
Additional contact information
Jean-Pierre Drugeon: PSE - Paris School of Economics - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris Sciences et Lettres - EHESS - École des hautes études en sciences sociales - ENPC - École nationale des ponts et chaussées - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement, PJSE - Paris Jourdan Sciences Economiques - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris Sciences et Lettres - INRA - Institut National de la Recherche Agronomique - EHESS - École des hautes études en sciences sociales - ENPC - École nationale des ponts et chaussées - CNRS - Centre National de la Recherche Scientifique

Post-Print from HAL

Abstract: This article considers the long-run equilibrium distribution of an economy populated by heterogenous and present biased quasi-hyperbolic discounting agents. In a first configuration with logarithmic utility functions and Cobb-Douglas production technologies, this article establishes the existence and the uniqueness of the equilibrium : only one agent, determined by the highest value of a coefficient building from both the degree of present bias and the rate of discount, will have a positive long-run consumption and a positive long-run wealth. A second configuration with constant elasticities of substitution utilities and linear production technologies is then considered. This article similarly establishes the existence and the uniqueness of the equilibrium. There generically is a unique agent with the highest growth rate for his consumption and his wealth. This agent is determined by both preferences and technology parameters and may change following a technological shock.

Keywords: Heterogeneities; Quasi-hyperbolic discounting; Linear decision rules; Hétérogénéités; Escompte quasi-hyperbolique; Règles de décision linéaires (search for similar items in EconPapers)
Date: 2019
References: Add references at CitEc
Citations:

Published in Revue d'économie politique, 2019, 129 (5), pp.715-740. ⟨10.3917/redp.295.0715⟩

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
Journal Article: On a Simple Equilibrium with Heterogeneous Quasi-Hyperbolic Discounting Agents (2019)
Working Paper: On a Simple Equilibrium with Heterogeneous Quasi-Hyperbolic Discounting Agents (2019)
Working Paper: On a Simple Equilibrium with Heterogeneous Quasi-Hyperbolic Discounting Agents (2018)
Working Paper: On a Simple Equilibrium with Heterogeneous Quasi-Hyperbolic Discounting Agents (2018)
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:hal:journl:halshs-02875235

DOI: 10.3917/redp.295.0715

Access Statistics for this paper

More papers in Post-Print from HAL
Bibliographic data for series maintained by CCSD ().