mayelvis 发表于 2010-1-4 18:53
Consider an individual with a utility function u(c1; c2) where c1 denotes the amount of a good consumed in period 1 and c2 the amount consumed in period 2. The price of the good in each period is 1. Denote the individual's income in each period by (m1;m2) and assume initially that he or she is able to borrow and lend at an interest rate r.
(a) Explain why a corner solution would be intuitively unreasonable.

(b) Explain the meaning of subjective rate of time preference in this context and explain why a constant rate of of subjective time preference would be intuitively unreasonable.

(c) Suppose now that there is an imperfection in the capital market such that the interest rate at which the conumer can borrow, rb,is higher than that at which he or she can lend, rl: illustrate the
feasible budget set in this case.

(d) For the situation in (c) give, in terms of interest rates and the consumer's subjective rate of time preference, the condition which holds at the optimum for a consumer who neither borrows nor
lends.

a小题的cornei solution什么意思？？是不是预算线与横轴纵轴的交点？？

b小题让解释主观时间偏好率，以及为什么主观时间偏好率不能是定值。。

c小题说如果现在借款利息高于贷款利息，表明可能的预算集

d小题题目看不明白


以上4小题向高人求解。。。感激不尽