> This paper solves numerically the intertemporal consumption and
> portfolio choice problem of an infinitely-lived investor who
> faces a time-varying equity premium. The solutions we obtain are
> very similar to the approximate analytical solutions of Campbell
> and Viceira (1999), except at the upper extreme of the state
> space where both the numerical consumption and portfolio
> flatten out.
They really believe this shit, don't they? Christ, what a nasty case of Physics Envy they have.
This stuff really makes the notion of 'political' economy sound quaint, doesn't it? I mean, we're just counting beans, nothing political about that, is there?
Fuck all, I'll take Adam Smith over this crap any day, if that's the choice.
Joseph Noonan Houston, TX jfn1 at msc.com