English

The effect of the behavior of an average consumer on the public debt dynamics

Economics 2017-06-28 v1

Abstract

An important issue within the present economic crisis is understanding the dynamics of the public debt of a given country, and how the behavior of average consumers and tax payers in that country affects it. Starting from a model of the average consumer behavior introduced earlier by the authors, we propose a simple model to quantitatively address this issue. The model is then studied and analytically solved under some reasonable simplifying assumptions. In this way we obtain a condition under which the public debt steadily decreases.

Keywords

Cite

@article{arxiv.1706.07759,
  title  = {The effect of the behavior of an average consumer on the public debt dynamics},
  author = {Roberto De Luca and Marco Di Mauro and Angelo Falzarano and Adele Naddeo},
  journal= {arXiv preprint arXiv:1706.07759},
  year   = {2017}
}

Comments

4 pages, 1 figures, submitted for publication to Physica A