jhconning/renegotiation

Appendix proofs

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  • Model section now has graphical analysis arguing that c1P>c1F (easy visual proof) but also need proofs/work to show that c2P-< c0F as rho <=> 1 (or other way around?).

-- also intuitively why is it that when rho is low (intertemporal subtn) is high consumer reduces savings but increases when rho is high.?

  • proof that some key results extend to T=4, 5....N period models?