The Behavior of Savings and Asset Prices When Preferences and Beliefs are Heterogeneous
---- Acknowledgements ----
We are very grateful to Hui Chen, Scott Joslin, Leonid Kogan, Anh Tran, Raman Uppal and Jessica Wachter for many insightful discussions and suggestions. We are indebted to Jerome Detemple for his introduction to and lectures on Malliavin calculus. All the remaining errors are our own. The views expressed herein are those of the authors and do not necessarily reflect the views of the National Bureau of Economic Research.