The ultimate effects of initial cost internalization on economic aggregates would have to be modelled according to prevailing price elasticities and technological (production) structures.
Using these aggregates and the stock of durable goods, we estimate the elasticities of substitution between various consumption goods and monetary assets.
The same questions, however, can also be answered, at least qualitatively, by using time elasticities.
Higher persistence is associated with larger (absolute) tax elasticities, even if the model allows for altruistic bequests.
Similarly, changing the relative magnitude of aggregate supply and demand elasticities in the fourth and fifth rows does not destroy the incentives for activism.
Table 4 reports the estimated elasticities and marginal effects.
The elasticities exhibit wide ranges of variation from month t o m onth as expected.
Simultaneously, results from a conventional travel cost model reveal low elasticities with respect to costs incurred by visitors.
