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- − P λ = 0 (9) N= NOQ < = β &C ' % − λ = 0 (10) From equation (9), we have ISSN: 2247-6172; ISSN-L:2247-6172 Review of Applied Socio- Economic Research ( Volume 23,Issue 1 / 2022 ), pp. 134-150 URL: http://www.reaser.eu e-mail: editors@reaser.eu β &C ' % = P λ C = R S< ?< T< U (11) Also, from equation (10), we have β &C ' % − λ C = R S< T< U (12) Substituting for C and C in the budget constraint, the following results P R S< ?< T< U + R S< T< U + M + m + B + P K = W L + (1+r )P K + (2+r )B + (1 + n )M + r4 m (13) T< FP R S< ?< U + (β ) 7 G+ M + m + B + P K = W L + (1+r )P K + (2+r )B + (1 + n )M + r4 m T< FP R S< ?< U + (β ) 7 G = (W L + (1 + r )P K + (2 + r )B + (1 + n )M + r4 m − Mt+1− mt+1− Bt+1− PtKt+1 FP R S< ?< U + (β ) 7 G = λ (W L + (1 + r )P K + (2 + r )B + (1 + n )M + r4 m − Mt+1− mt+1− Bt+1− PtKt+1 λ = 6?< V W< X< Y
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- 4< C<E9 4<E9 B<E9 ?<@<E9 ) F(?< ) 7 G H I (27) ISSN: 2247-6172; ISSN-L:2247-6172 Review of Applied Socio- Economic Research ( Volume 23,Issue 1 / 2022 ), pp. 134-150 URL: http://www.reaser.eu e-mail: editors@reaser.eu Equation (27) is the demand for public goods at the general equilibrium. __________________________________ Manuscript received: 29.11.2021 Manuscript received in revised form: 13.02.2022 Manuscript accepted: 14.06.2022
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- ISSN: 2247-6172; ISSN-L:2247-6172 Review of Applied Socio- Economic Research ( Volume 23,Issue 1/ 2022 ), pp. 134-150 URL: http://www.reaser.eu e-mail: editors@reaser.eu [16]Dowd, K. (2014). New private monies. A bit-part player?” Institute of economic affairs. United Kingdom: Fraser Institute.
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- Max π = P Y − W L − P R K (17) Subject to Y = AK L 0 < < 1 (18) When we substitute Y for AK L Max π = P AK L − W L − P R K ISSN: 2247-6172; ISSN-L:2247-6172 Review of Applied Socio- Economic Research ( Volume 23,Issue 1 / 2022 ), pp. 134-150 URL: http://www.reaser.eu e-mail: editors@reaser.eu The first order conditions are: Nq< N@< = αP AK L − P R = 0 Nq< N=< = (1 − α)P AK L − W = 0 Given Nq< N@< = αP AK L − P R = 0, we have: αP AK L = P R K = ?<r< ?<s=< 98t K = r< s=< 98t R = αAK L (19) Substituting R for αAK L in the equation for the household’s real return on capital: 1 + r = 1 + R - δ , we have the following expression. 1 + r = 1 + αAK L - δ (20) Given that Nq< N=< = (1 − α)P AK L − W = 0, we have: W = (1 − α)P AK L (21) 8.1.3 General Equilibrium At the general equilibrium, we can postulate that the following statements hold.
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