Credit Frictions and Optimal Monetary Policy: Technical Appendix

  • Vasco Cúrdiay, Michael Woodfordz
  • Published 2009

Abstract

1 The economy 1.1 Intertemporal allocation of expenditure 1.1.1 Households: Preferences Households are ex ante identical, but have heterogeneous preferences at any point in time, owing to independent ‡uctuations in their preferences. Each aims to maximize an expected discounted utility E 0 1 X t=0 t u t(i) (c t (i) ; t) Z 1 0 v t(i) (h t (j; i) ; t) dj ; (1… (More)

Topics

Figures and Tables

Sorry, we couldn't extract any figures or tables for this paper.