Monetary and Fiscal Issues
Paper Session
Saturday, Jan. 7, 2017 7:30 PM – 9:30 PM
Sheraton Grand Chicago, Arkansas
- Chair: Gary Hansen, University of California-Los Angeles
Reforming Medicaid Long Term Care Insurance
Abstract
To be added.Incentive Compatibility as a Nonnegative Martingale
Abstract
This paper considers a dynamic Mirrleesian economy and decomposes agents' lifetime incentive compatibility (IC) constraints into a sequence of temporal ones. We encode the frequency and severeness of these temporal IC constraints by their associated Lagrange multipliers, showing that the accumulation of the Lagrange multipliers on the consumption part is a nonnegative martingale. It is emphasized that, distinct from the extant literature, this martingale property is derived directly from the IC constraints and so is independent of the optimization of the social planning problem. We apply our finding to (i) the characterization of constrained efficient intertemporal wedges in the aggregate, and (ii) the extension ofthe so-called immiseration to an environment more general than the extant literature.
Regional Real Exchange Rate Dynamics and Fiscal Policy in China
Abstract
To be added.Discussant(s)
Richard M. H. Suen
, University of Leicester
John Jones
, State University of New York-Albany
Yi-Chan Tsai
, National Taiwan University
Huixin Bi
, Federal Reserve Bank of Kansas City
JEL Classifications
- E6 - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook
- H0 - General