Great video! Your derivation is more general than the one is Soskice's Macro book. Although he uses a more explicit form of the impatience discount factor, putting it in the denominator, which I personally prefer. Also, great work showing the Lagrangean, it was a great refresher from Microeconomics. Fantastic video, thanks a lot! I'll be checking out the rest of your videos, for sure!
Great video! Your derivation is more general than the one is Soskice's Macro book. Although he uses a more explicit form of the impatience discount factor, putting it in the denominator, which I personally prefer.
Also, great work showing the Lagrangean, it was a great refresher from Microeconomics.
Fantastic video, thanks a lot! I'll be checking out the rest of your videos, for sure!
Great to hear it was useful!
So how does the permanent income hypothesis differ from the life cycle hypothesis side by side?