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lectures/unpleasant.md

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@@ -189,14 +189,16 @@ p_T & = \frac{m_0}{\gamma_1 - \overline g - \gamma_2 R_u^{-1}}
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$$ (eq:LafferTstationary)
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We can compute continuation sequences $\{R_t, b_t\}_{t=T+1}^\infty$ of rates of return and real balances that are associated with an equilibrium by solving equation {eq}`eq:up_bmotion` and {eq}`eq:up_bdemand` sequentially for $t \geq 1$:
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\begin{aligned}
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We can compute continuation sequences $\{R_t, b_t\}_{t=T+1}^\infty$ of rates of return and real balances that are associated with an equilibrium by solving equation {eq}`eq:up_bmotion` and {eq}`eq:up_bdemand` sequentially for $t \geq 1$:
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$$
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\begin{aligned}
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b_t & = b_{t-1} R_{t-1} + \overline g \cr
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R_t^{-1} & = \frac{\gamma_1}{\gamma_2} - \gamma_2^{-1} b_t \cr
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p_t & = R_t p_{t-1} \cr
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m_t & = b_{t-1} p_t
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\end{aligned}
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$$
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## Before time $T$

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