Welfare-improving government behavior and inequality in a heterogeneous agents model

• Type: Article in International Scientific Journal
• Date: 2013

Authors

Miguel Viegas (Author) FEP; Ana Ribeiro (Author) FEP

Journal

Title: Journal of Macroeconomics

Vol. 37

Pages: 146-160

ISSN: 0164-0704

Publisher: Elsevier

Indexing

ISI Web of Knowledge - 5 Citations

ISI Web of Science

Scopus - 6 Citations

Scientific classification

FOS: Social sciences > Economics and Business

CORDIS: Social sciences > Economics

Other information

Authenticus ID: P-006-7QK

DOI: 10.1016/j.jmacro.2013.05.005

Abstract (EN): Government's behavior is expected to be non-neutral in terms of impacts on both welfare and inequality. It is acknowledged in most literature that fiscal policy often involves trade-offs between economic growth and inequality. By applying an equilibrium model with heterogeneous agents, capable of exploring the relationship between fiscal policy variables and the endogenous cross-section distribution of income, wealth, consumption and leisure, this paper aims at assessing (i) the optimal menu of government expenditures as well as of (ii) their inter-temporal financing. These are key issues in times of fiscal imbalances and their correction is dominating the current (European) policy agenda.

Language: English

Type (Professor's evaluation): Scientific

No. of pages: 15