Instruct: Identify the main and secondary category of Arxiv papers based on the titles and abstracts
Query: On the equivalence of internal and external habit formation models with
  finite memory   In this paper we use a dynamic programming approach to analytically solve an
endogenous growth model with internal habits where the key parameters
describing their formation, namely the intensity, persistence and lag structure
(or memory), are kept generic. Then we show that external and internal habits
lead to the same closed loop policy function and then to the same (Pareto)
optimal equilibrium path of the aggregate variables when the utility function
is subtractive nonseparable. The paper uses new theoretical results from those
previously developed by the dynamic programming literature applied to optimal
control problems with delay and it extends the existing results on the
equivalence between models with internal and external habits to the case of
finite memory.

11
The categories of this paper are: hep-lat
35
The categories of this paper are: mtrl-th
0
The categories of this paper are: hep-ph
32
The categories of this paper are: atom-ph
34
The categories of this paper are: chem-ph
4
The categories of this paper are: cond-mat
1
The categories of this paper are: cs
13
The categories of this paper are: quant-ph
25
The categories of this paper are: patt-sol
26
The categories of this paper are: bayes-an
19
The categories of this paper are: eess
27
The categories of this paper are: comp-gas
31
The categories of this paper are: ao-sci
28
The categories of this paper are: alg-geom
10
The categories of this paper are: q-bio
24
The categories of this paper are: dg-ga