This is the program for the 2010 Joint Statistical Meetings in Vancouver, British Columbia.

Abstract Details

Activity Number: 241
Type: Contributed
Date/Time: Monday, August 2, 2010 : 2:00 PM to 3:50 PM
Sponsor: Business and Economic Statistics Section
Abstract - #309012
Title: Computation of the Stationary Wealth Distribution in a Heterogeneous Agent Based Economy with Employment Uncertainty
Author(s): Muffasir Badshah*+ and Anuj Srivastava and Paul Beaumont
Companies: Florida State University and Florida State University and Florida State University
Address: 214 OSB, Department of Statistics, Tallahassee, FL, 32306,
Keywords: Markov process ; The Perron-Frobenius Theorem ; Wealth Distributions ; Dynamic General Equilibrium Modeling

This paper aims at analyzing a macroeconomy with a large number of infinitely lived households that make rational decisions about consumption and wealth savings in the light of future employment uncertainty. The heterogeneous population structure arises when households differ in wealth and employment status against which they cannot insure. In this framework, the household wealth evolution is modeled as a mixture Markov process. The stationary wealth distributions are obtained using eigen structures of transition matrices under the Perron-Frobenius theorem. We utilize this step repeatedly to find the equilibrium state of the system which leads to an efficient framework for studying the dynamic general equilibrium. A systematic evaluation of the equilibrium state under different initial conditions is further presented and analyzed.

The address information is for the authors that have a + after their name.
Authors who are presenting talks have a * after their name.

Back to the full JSM 2010 program

2010 JSM Online Program Home

For information, contact or phone (888) 231-3473.

If you have questions about the Continuing Education program, please contact the Education Department.