The Distributional Consequences of Belief Heterogeneity

2020 ◽  
Author(s):  
Nigel McClung
Keyword(s):  
Distributional Consequences ◽  
Belief Heterogeneity

Distributional consequences of surging housing rents

2021 ◽  
pp. 105275
Author(s):  
Volker Grossmann ◽  
Benjamin Larin ◽  
Hans Torben Löfflad ◽  
Thomas Steger
Keyword(s):  
Distributional Consequences

scholarly journals A CLASSICAL MODEL OF EDUCATION, GROWTH, AND DISTRIBUTION

2018 ◽  
Vol 24 (5) ◽  
pp. 1186-1221
Author(s):  
Amitava Krishna Dutt ◽  
Roberto Veneziani
Keyword(s):  
Capital Accumulation ◽  
Classical Model ◽  
Human Capital Accumulation ◽  
Macroeconomic Model ◽  
Education Policies ◽  
Distributional Consequences ◽  
The Usa ◽  
Market Relations ◽  
Shed Light ◽  
Growth Distribution

We develop a classical macroeconomic model to examine the growth and distributional consequences of education. Contrary to the received wisdom, we show that human capital accumulation is not necessarily growth-inducing and inequality-reducing. Expansive education policies may foster growth and reduce earning inequalities between workers, but only by transferring income from workers to capitalists. Further, the overall effect of an increase in education depends on the actual characteristics of the educational system and on the nature of labor market relations. Although the primary aim of the paper is theoretical, we argue that the model identifies some causal mechanisms that can contribute to shed light on recent stylized facts on growth, distribution, and education for the USA.

scholarly journals Monetary Policy and Inequality under Labor Market Frictions and Capital-Skill Complementarity

2021 ◽  
Vol 13 (2) ◽  
pp. 292-332
Author(s):  
Juan J. Dolado ◽  
Gergő Motyovszki ◽  
Evi Pappa
Keyword(s):  
Monetary Policy ◽  
Labor Market ◽  
Income Inequality ◽  
New Keynesian ◽  
Labor Income ◽  
Skilled Workers ◽  
Investment Demand ◽  
Multiplier Effect ◽  
Distributional Consequences ◽  
Amplification Mechanism

We provide a new channel through which monetary policy has distributional consequences at business cycle frequencies. We show that an unexpected monetary easing increases labor income inequality between high-skilled and less-skilled workers. To rationalize these findings, we build a New Keynesian DSGE model with asymmetric search-and-matching (SAM) frictions and capital-skill complementarity (CSC) in production. We show that CSC on its own introduces a dynamic demand amplification mechanism: the increase in high-skilled employment after a monetary expansion makes complementary capital more productive, encouraging a further rise in investment demand and creating a multiplier effect. SAM asymmetries magnify this channel. (JEL E32, E52, E24, E12, E25, J63)

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