Thursday , June 20 2019
Home / Brad Delong, Berkeley / Brad DeLong's Grasping Reality 2019-04-14 15:41:58

Brad DeLong's Grasping Reality 2019-04-14 15:41:58

Summary:
Matthew O. Jackson and Leeat Yariv: The Non-Existence of Representative Agents: "We characterize environments in which there exists a representative agent: an agent who inherits the structure of preferences of the population that she represents. The existence of such a representative agent imposes strong restrictions on individual utility functions—requiring them to be linear in the allocation and additively separable in any parameter that characterizes agents' preferences (e.g., a risk aversion parameter, a discount factor, etc.). Commonly used classes of utility functions (exponentially discounted utility functions, CRRA or CARA utility functions, logarithmic functions, etc.) do not admit a representative agent...

Topics:
Bradford DeLong considers the following as important:

This could be interesting, too:

Bradford DeLong writes Brad DeLong's Grasping Reality 2019-06-20 03:16:59

Bradford DeLong writes Brad DeLong's Grasping Reality 2019-06-20 02:37:20

Bradford DeLong writes Brad DeLong's Grasping Reality 2019-06-20 02:35:38

Bradford DeLong writes Brad DeLong's Grasping Reality 2019-06-20 02:33:33

Matthew O. Jackson and Leeat Yariv: The Non-Existence of Representative Agents: "We characterize environments in which there exists a representative agent: an agent who inherits the structure of preferences of the population that she represents. The existence of such a representative agent imposes strong restrictions on individual utility functions—requiring them to be linear in the allocation and additively separable in any parameter that characterizes agents' preferences (e.g., a risk aversion parameter, a discount factor, etc.). Commonly used classes of utility functions (exponentially discounted utility functions, CRRA or CARA utility functions, logarithmic functions, etc.) do not admit a representative agent...

Bradford DeLong
J. Bradford DeLong is Professor of Economics at the University of California at Berkeley and a research associate at the National Bureau of Economic Research. He was Deputy Assistant US Treasury Secretary during the Clinton Administration, where he was heavily involved in budget and trade negotiations. His role in designing the bailout of Mexico during the 1994 peso crisis placed him at the forefront of Latin America’s transformation into a region of open economies, and cemented his stature as a leading voice in economic-policy debates.

Leave a Reply

Your email address will not be published. Required fields are marked *