Macroeconomics 12th Edition by Rudiger Dornbusch, Stanley Fischer ,Richard Startz

تمرين 16

What assumption(s) regarding consumers' knowledge and behavior in the life-cycle- permanent-income hypothesis do we need to change in order for it to explain the presence of precautionary, or buffer-stock, saving Do these assumptions, in your opinion, bring the model closer to or further from the world as you know it