全球智库信息集成服务系统(G2TT): DP5240 Minority Blocks and Takeover Premia

G2TT

来源类型	Discussion paper
规范类型	论文
来源ID	DP5240
	DP5240 Minority Blocks and Takeover Premia
	Denis Gromb; Fausto Panunzi; Mike Burkart
发表日期	2005-09-23
出版年	2005
语种	英语
摘要	In this paper, we consider an aggregate overlapping generations model with endogenous labour, consumption in both periods of life, homothetic preferences and productive external effects coming from the average capital and labour. We show that under realistic calibrations of the parameters, in particular a large enough share of first period consumption over the wage income, local indeterminacy of equilibria cannot occur with capital externalities alone but that it can occur when there are only, however small, labour externalities. More precisely, under gross substitutability, the existence of multiple equilibria requires a large enough elasticity of capital-labour substitution and a large enough elasticity of the labour supply. We also show that if labour externalities are slightly stronger and the elasticity of labour supply is larger, local indeterminacy occurs in a Cobb-Douglas economy. Finally, we show that, as a consequence of our restriction on first period consumption, a locally indeterminate steady state is generically characterized by an under-accumulation of capital. It follows therefore that while agents live over a finite number of periods, the conditions for the existence of locally indeterminate equilibria are very similar to those obtained within infinite horizon models and that from this point of view, Diamond meets Ramsey.
主题	International Macroeconomics
关键词	Indeterminacy Endogenous cycles Overlapping generations Endogenous labour supply Capital and labour externalities Under-accumulation
URL	https://cepr.org/publications/dp5240
来源智库	Centre for Economic Policy Research (United Kingdom)
资源类型	智库出版物
条目标识符	http://119.78.100.153/handle/2XGU8XDN/534112
推荐引用方式 GB/T 7714	Denis Gromb,Fausto Panunzi,Mike Burkart. DP5240 Minority Blocks and Takeover Premia. 2005.