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Status in a canonical macro model: labour supply, growth, and inequality

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  • Tsoukis, Christopher
  • Tournemaine, Frederic

Abstract

We introduce status in the most standard (canonical) macro model that is able to provide an analysis of growth and distribution. We consider the question of whether status considerations enable the model to meet some important empirical findings (which we review) related to rising labour supply (the work-life balance), rising income inequality, and changing factor shares. We find a promising role for status in the explanation of these empirical regularities.

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Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 26480.

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Date of creation: Jul 2010
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Handle: RePEc:pra:mprapa:26480

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Keywords: Status; growth; inequality; labour supply; social/behavioural macroeconomics;

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