We exhibit some features of intertemporal choice from the point of view of stationarity. In effect, starting from the spot and forward discounting factors, we can deduce the concepts of pure stationarity and additivity, and their respective violations: on the one hand, increasing and decreasing impatience, and, on the other hand, subadditivity and superadditivity. Despite these concepts have appeared in the financial literature as independent, in this paper we will demonstrate their common origin and their relationships.
Some financial topics in subjective intertemporal choice
Ventre V
2011
Abstract
We exhibit some features of intertemporal choice from the point of view of stationarity. In effect, starting from the spot and forward discounting factors, we can deduce the concepts of pure stationarity and additivity, and their respective violations: on the one hand, increasing and decreasing impatience, and, on the other hand, subadditivity and superadditivity. Despite these concepts have appeared in the financial literature as independent, in this paper we will demonstrate their common origin and their relationships.File in questo prodotto:
Non ci sono file associati a questo prodotto.
I documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.