Leonhard Frerick

A Ramsey-Type Equilibrium Model with Spatially Dispersed Agents

  • Leonhard Frerick
  • Georg Müller-Fürstenberger
  • Martin Schmidt
  • Max Späth
    • Categories Complementarity and Variational Inequalities, Finance and Economics Tags , , ,

    We present a spatial and time-continuous Ramsey-type equilibrium model for households and firms that interact on a spatial domain to model labor mobility in the presence of commuting costs. After discretization in space and time, we obtain a mixed complementarity problem that represents the spatial equilibrium model. We prove existence of equilibria using the theory … Read more

    Complementarity Modeling of a Ramsey-Type Equilibrium Problem with Heterogeneous Agents

  • Leonhard Frerick
  • Martin Schmidt
  • Georg Müller-Fürstenberger
  • Max Späth
    • Categories Complementarity and Variational Inequalities, Finance and Economics Tags , , ,

    We contribute to the field of Ramsey-type equilibrium models with heterogeneous agents. To this end, we state such a model in a time-continuous and time-discrete form, which in the latter case leads to a finite-dimensional mixed complementarity problem. We prove the existence of solutions of the latter problem using the theory of variational inequalities and … Read more