S Rao Aiyagari
Biographic Data
| ID | 5867395 |
|---|---|
| NAME | S Rao Aiyagari |
| GIVEN NAMES | S Rao |
| FAMILY NAME | Aiyagari |
| SIGNATURE | AIYAGARI S R |
| AFFILIATIONS | University of Rochester |
| VERIFIED | No |
| TOTAL WORKS | 5 |
| TOTAL CITATIONS | 40 |
| WORKS AS AUTHOR | 5 |
| WORKS AS EDITOR | 0 |
| FIRST PUBLICATION YEAR | 1994 |
| LATEST PUBLICATION YEAR | 2002 |
| H-INDEX | 3 |
Optimal Taxation without State‐Contingent Debt
In an economy studied by Lucas and Stokey, tax rates inherit the serial correlation structure of government expenditures, belying Barro's earlier result that taxes should be a random walk for any stochastic process of government expenditures. To recover a version of Barro's random walk tax-smoothing outcome, we modify Lucas and Stokey's economy to permit only risk-free debt. Having only risk-free debt confronts the Ramsey planner with additional …
On the State of the Union
An overlapping generations model of marriage and divorce is constructed to analyze family structure and intergenerational mobility. Agents differ by sex, marital status, and human capital. Single agents meet in a marriage market and decide whether to accept or reject proposals to wed. Married couples must decide whether to separate or not. Parents invest in their children depending on their wherewithal. A simulated version of the theoretical prot…
Transaction Services, Inflation, and Welfare
This paper is motivated by empirical observations on the comovements of currency velocity, inflation, and the relative size of the credit services sector. We document these comovements and incorporate into a monetary growth model a credit services sector that provides services that help people economize on money. Our model makes two new contributions. First, we show that direct evidence on the appropriately defined credit service sector for the U…
Optimal Capital Income Taxation with Incomplete Markets, Borrowing Constraints, and Constant Discounting
For a wide class of infinitely lived agent models, Christophe Chamley (1986) has shown that the optimal capital income tax rate is zero in the long run. Robert E. Lucas (1990) has argued that, for the U.S. economy, there is a significant welfare gain from switching to this policy. This paper shows that, for the Bewley class of models with incomplete insurance markets and borrowing constraints, the optimal tax rate on capital income is positive, e…
Uninsured Idiosyncratic Risk and Aggregate Saving
We present a qualitative and quantitative analysis of the standard growth model modified to include precautionary saving motives and liquidity constraints. We address the impact on the aggregate saving rate, the importance of asset trading to individuals, and the relative inequality of wealth and income distributions.
Optimal Taxation without State‐Contingent Debt
In an economy studied by Lucas and Stokey, tax rates inherit the serial correlation structure of government expenditures, belying Barro's earlier result that taxes should be a random walk for any stochastic process of government expenditures. To recover a version of Barro's random walk tax-smoothing outcome, we modify Lucas and Stokey's economy to permit only risk-free debt. Having only risk-free debt confronts the Ramsey planner with additional …
Optimal Capital Income Taxation with Incomplete Markets, Borrowing Constraints, and Constant Discounting
For a wide class of infinitely lived agent models, Christophe Chamley (1986) has shown that the optimal capital income tax rate is zero in the long run. Robert E. Lucas (1990) has argued that, for the U.S. economy, there is a significant welfare gain from switching to this policy. This paper shows that, for the Bewley class of models with incomplete insurance markets and borrowing constraints, the optimal tax rate on capital income is positive, e…
On the State of the Union
An overlapping generations model of marriage and divorce is constructed to analyze family structure and intergenerational mobility. Agents differ by sex, marital status, and human capital. Single agents meet in a marriage market and decide whether to accept or reject proposals to wed. Married couples must decide whether to separate or not. Parents invest in their children depending on their wherewithal. A simulated version of the theoretical prot…
Transaction Services, Inflation, and Welfare
This paper is motivated by empirical observations on the comovements of currency velocity, inflation, and the relative size of the credit services sector. We document these comovements and incorporate into a monetary growth model a credit services sector that provides services that help people economize on money. Our model makes two new contributions. First, we show that direct evidence on the appropriately defined credit service sector for the U…
Uninsured Idiosyncratic Risk and Aggregate Saving
We present a qualitative and quantitative analysis of the standard growth model modified to include precautionary saving motives and liquidity constraints. We address the impact on the aggregate saving rate, the importance of asset trading to individuals, and the relative inequality of wealth and income distributions.
Optimal Capital Income Taxation with Incomplete Markets, Borrowing Constraints, and Constant Discounting
For a wide class of infinitely lived agent models, Christophe Chamley (1986) has shown that the optimal capital income tax rate is zero in the long run. Robert E. Lucas (1990) has argued that, for the U.S. economy, there is a significant welfare gain from switching to this policy. This paper shows that, for the Bewley class of models with incomplete insurance markets and borrowing constraints, the optimal tax rate on capital income is positive, e…
Transaction Services, Inflation, and Welfare
This paper is motivated by empirical observations on the comovements of currency velocity, inflation, and the relative size of the credit services sector. We document these comovements and incorporate into a monetary growth model a credit services sector that provides services that help people economize on money. Our model makes two new contributions. First, we show that direct evidence on the appropriately defined credit service sector for the U…
On the State of the Union
An overlapping generations model of marriage and divorce is constructed to analyze family structure and intergenerational mobility. Agents differ by sex, marital status, and human capital. Single agents meet in a marriage market and decide whether to accept or reject proposals to wed. Married couples must decide whether to separate or not. Parents invest in their children depending on their wherewithal. A simulated version of the theoretical prot…
Optimal Taxation without State‐Contingent Debt
In an economy studied by Lucas and Stokey, tax rates inherit the serial correlation structure of government expenditures, belying Barro's earlier result that taxes should be a random walk for any stochastic process of government expenditures. To recover a version of Barro's random walk tax-smoothing outcome, we modify Lucas and Stokey's economy to permit only risk-free debt. Having only risk-free debt confronts the Ramsey planner with additional …
Economics (5 works) · Monetary economics (4 works) · Economic theories and models (3 works) · Financial Literacy, Pension, Retirement Analysis (3 works) · Microeconomics (3 works) · Welfare (3 works) · Capital (architecture (2 works) · Computer Science (2 works) · Econometrics (2 works) · Finance (2 works)