Is it possible to introduce in Dyanre the incentive of agents to insure againts shocks?
Thank you
Andrea
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insurance
by gazzani.andrea » Thu Sep 22, 2011 7:38 am
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Re: insurance
by SébastienVillemot » Wed Sep 28, 2011 1:23 pm
If you are talking about the precautionnary motive related to the third derivative of the utility function, then it is possible to put it in evidence in Dynare if you use a third order approximation.
Best,
Best,
Sébastien Villemot
Economist at OFCE – Sciences Po
Economist at OFCE – Sciences Po
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