This paper studies the distributive effects of growth when different agents' income is drawn from accumulated and non-accumulated factors of production in different proportions. It also notes that political interactions may contribute to determine factor shares and growth when income sources are heterogeneous, and suggests that distributional issues should be taken into account both when formulating growth-oriented policy prescriptions and when interpreting the wide dispersion of growth rates across economies and over time.
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Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number
576.
Find related papers by JEL classification: D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Models of Political Processes: Rent-seeking, Elections, Legislatures, and Voting Behavior D74 - Microeconomics - - Analysis of Collective Decision-Making - - - Conflict; Conflict Resolution; Alliances O40 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General
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