Credit segmentation in general equilibrium

B-Tier
Journal: Journal of Mathematical Economics
Year: 2016
Volume: 62
Issue: C
Pages: 19-27

Authors (2)

Cea-Echenique, Sebastián (not in RePEc) Torres-Martínez, Juan Pablo (Universidad de Chile)

Score contribution per author:

1.005 = (α=2.01 / 2 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

We build a general equilibrium model with endogenous borrowing constraints compatible with credit segmentation. There are personalized trading restrictions connecting prices with both portfolio constraints and consumption possibilities, a setting which has not thoroughly been addressed by the literature. Our approach is general enough to be compatible with incomplete market economies where there exist wealth-dependent and/or investment-dependent credit access, borrowing constraints precluding bankruptcy, or assets backed by physical collateral.

Technical Details

RePEc Handle
repec:eee:mateco:v:62:y:2016:i:c:p:19-27
Journal Field
Theory
Author Count
2
Added to Database
2026-01-25