Micro and Macro Elasticities in a Life Cycle Model With Taxes
---- Acknowledgements ----
We thank Ed Prescott, Martin Evans, Nobu Kiyotaki, and seminar participants at the University of Pennsylvania, University of Maryland, Georgetown University, ASU, Kansas City Fed, Philadelphia Fed and Atlanta Fed for useful comments. Rogerson thanks the NSF for financial support, and Wallenius thanks the Yrjo Jahnsson Foundation for financial support. The views expressed herein are those of the author(s) and do not necessarily reflect the views of the National Bureau of Economic Research.