
Intertemporal Consumption
Roy Harrod, Irving Fisher, Discounted utility
Norton Fausto Garfield(Editor)
Anim Publishing
Published on 7. May 2026
Book
Paperback/Softback
64 pages
978-613-7-21346-9 (ISBN)
Description
Please note that the content of this book primarily consists of articles
available from Wikipedia or other free sources online. Economic theories
of intertemporal consumption seek to explain people's preferences in
relation to consumption and saving over the course of their life. The
earliest work on the subject was by Irving Fisher and Roy Harrod who
described 'hump saving', hypothesizing that savings would be highest in
the middle years of a person's life as they saved for retirement. In the
1950s, more well-defined models built on discounted utility theory and
approached the question of inter-temporal consumption as a lifetime
income optimization problem. Solving this problem mathematically,
assuming that individuals are rational and have access to complete
markets, Modigliani & Brumberg, Albert Ando, and Milton Friedman
developed what became known as the life-cycle model. This model predicts
that people consume an annuity of their expected lifetime income at all
points in their life.
More details
Language
English
Place of publication
United States
Product notice
Paperback (trade)
Unsewn / adhesive bound
Dimensions
Height: 220 mm
Width: 150 mm
Thickness: 4 mm
Weight
113 gr
ISBN-13
978-613-7-21346-9 (9786137213469)
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Schweitzer Classification