ИСТИНА

In the present work, the generalization of Ramsey type continuous-time neoclassical growth model is considered. The generalization consists in setting time preference rates in endogenous way, namely as functions dependent on ratio between capital holdings of specific agent and total capital available of economy. The agents behave in myopic manner suggesting that time preference rate, rental rate of capital and wage rate do not change over time. Within this framework, we construct the agent's consumption strategy by means of the auxiliary infinite horizon optimal control problem solution. We also give the sufficient conditions on time preference rate setting to prove F. P. Ramsey's conjecture on division of economic agents – namely, households – into two classes: the class of thrifty agents which jointly accumulate and share all the economy wealth and the class of workers.