Bifurcation in optimal retirement
Bifurcation in optimal retirement ArXiv ID: 2506.02155 “View on arXiv” Authors: Bushra Shehnam Ashraf, Thomas S. Salisbury Abstract We study optimal consumption and retirement using a Cobb-Douglas utility and a simple model in which an interesting bifurcation arises. With high wealth, individuals plan to retire. With low wealth they plan to never retire. At a critical level of initial wealth they may choose to defer this decision, leading to a continuum of wealth trajectories with identical utilities. ...