Veri cation Theorems for Models of Optimal Consumption and Investment with Retirement and Constrained Borrowing∗
نویسندگان
چکیده
We examine the impact of retirement exibility and the constraint against borrowing from future labor income on optimal consumption, optimal investment, and optimal retirement policy. We solve three alternative models almost explicitly in parametric forms (up to at most a constant) and provide veri cation theorems for the claimed solutions. In addition, we also obtain analytical comparative statics. Mathematics Subject Classi cation (2000) 91B28 · 93E20 JEL Classi cation D91 · D92 · G11 · G12 · C61
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