Optimal relocation strategies for spatially mobile consumers

Details Optimal relocation strategies for spatially mobile consumers Optimal relocation strategies for spatially mobile consumers

2007-05-03

arxiv.org/abs/0705.0435v1

Mathematics

Optimization and Control

27 pages

Scientific paper

We develop a model of the behaviour of a dynamically optimizing economic
agent who makes consumption-saving and spatial relocation decisions. We
formulate an existence result for the model, derive the necessary conditions
for optimality and study the behaviour of the economic agent, focusing on the
case of a wage distribution with a single maximum.

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