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Intertemporal Equilibrium and the Transfer Paradox

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Author Info
Galor, O
Polemarchakis, H M

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Abstract

The transfer paradox may occur in a world with only two countri es ata dynamically stable intertemporal competitive equilibrium. In a framework of overlapping generations with production and investment, a transfer of income may immiserize the recipient while enriching thedonor. Away from the golden ru le, a transfer may result in a Paretoimprovement. Copyright 1987 by The Review of Economic Studies Limited.

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Publisher Info
Article provided by Blackwell Publishing in its journal Review of Economic Studies.

Volume (Year): 54 (1987)
Issue (Month): 1 (January)
Pages: 147-56
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Handle: RePEc:bla:restud:v:54:y:1987:i:1:p:147-56

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  1. Chu, Angus C., 2009. "Global Poverty Reduction and Pareto-Improving Redistribution," MPRA Paper 16809, University Library of Munich, Germany. [Downloadable!]
  2. Hens, Thorsten & Mayer, Janós & Pilgrim, Beate, 2004. "Existence of Sunspot Equilibria and Uniqueness of Spot Market Equilibria: The Case of Intrinsically Complete Markets," Discussion Papers 2004/15, Department of Finance and Management Science, Norwegian School of Economics and Business Administration. [Downloadable!]
  3. Partha Sen & Emily T. Cremers, 2007. "The Transfer Paradox in a One-Sector Overlapping Generations Model," Working papers 159, Centre for Development Economics, Delhi School of Economics. [Downloadable!]
    Other versions:
  4. Thorsten Hens & Beate Pilgrim, . "Subsidizing Charitable Giving in a Field Experiment," IEW - Working Papers iewwp070, Institute for Empirical Research in Economics - IEW. [Downloadable!]
  5. Emily T. Cremers & Partha Sen, 2005. "Transfers and the Terms of Trade in an Overlapping Generations Model," Working papers 138, Centre for Development Economics, Delhi School of Economics. [Downloadable!]
  6. Slobodan Djajic & Sajal Lahiri & Pascalis Raimondos-Moller, 2003. "Logic of aid in an intertemporal setting," HEI Working Papers 06-2003, Economics Section, The Graduate Institute of International Studies. [Downloadable!]
    Other versions:
  7. Partha Sen, 2005. "Perfect Competition and the Keynesian Cross:Revisiting Tobin," Working papers 135, Centre for Development Economics, Delhi School of Economics. [Downloadable!]
  8. Yutaro Murakami, 2005. "Regional redistribution policy and welfare in a two-region endogenous growth model," Discussion Papers in Economics and Business 05-07, Osaka University, Graduate School of Economics and Osaka School of International Public Policy (OSIPP). [Downloadable!]
  9. Marcelo Bianconi, 2004. "Transfer Programs and Consumption under Alternative Insurance Schemes and Liquidity Constraints," Discussion Papers Series, Department of Economics, Tufts University 0411, Department of Economics, Tufts University. [Downloadable!]
  10. Thorsten Hens & Beate Pilgrim & Janos Mayer, . "Existence of Sunspot Equilibria and Uniqueness of Spot Market Equilibria: The Case of Intrinsically Complete Markets," IEW - Working Papers iewwp188, Institute for Empirical Research in Economics - IEW. [Downloadable!]
  11. Santanu Chatterjee & Georgios Sakoulis & Stephen Turnovsky, 2000. "Unilateral Capital Transfers, Public Investment, and Economic Growth," Econometric Society World Congress 2000 Contributed Papers 1936, Econometric Society. [Downloadable!]
    Other versions:
  12. Hens, Thorsten & Pilgrim, Beate, 2004. "Sunspot Equilibria and the Transfer Paradox," Discussion Papers 2004/14, Department of Finance and Management Science, Norwegian School of Economics and Business Administration. [Downloadable!]
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