Consider a stationary overlapping generations economy, where each consumer lives for three periods. We establish, by means of an example, that it is possible that a stationary economy has no Pareto optimal stationary competitive equilibrium. This is to be contrasted with the 2-period overlapping generations model.
|Number of pages||7|
|Journal||Journal of Economic Theory|
|State||Published - Dec 1988|
ASJC Scopus subject areas
- Economics and Econometrics