Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/301226 
Authors: 
Year of Publication: 
2024
Series/Report no.: 
Discussion Papers of the Max Planck Institute for Research on Collective Goods No. 2024/8
Publisher: 
Max Planck Institute for Research on Collective Goods, Bonn
Abstract: 
For overlapping-generations models with multiple assets and without labour, welfare assessments of equilibrium allocations depend on whether the certainty equivalents of the one-period-ahead marginal rates of return on assets that are held are larger or smaller than the population growth rate. Conditional on the period and the history up to that period, the equilibrium values of these certainty equivalents are the same for all assets held and equal to the riskless rate if a riskless asset is held. If population growth is uncertain, the standard of comparison is the certainty equivalent of the population growth rate when interpreted as the marginal rate of return on an additional asset.
Subjects: 
Dynamic Inefficiency
overlapping-generations models
First Welfare Theorem
certainty-equivalents criterion
JEL: 
D15
D61
E21
E22
E62
H30
Persistent Identifier of the first edition: 
Document Type: 
Working Paper

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