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

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  • Viegas, Miguel
  • Ribeiro, Ana Paula

Abstract

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.

Suggested Citation

  • Viegas, Miguel & Ribeiro, Ana Paula, 2013. "Welfare-improving government behavior and inequality in a heterogeneous agents model," Journal of Macroeconomics, Elsevier, vol. 37(C), pages 146-160.
    • Handle: RePEc:eee:jmacro:v:37:y:2013:i:c:p:146-160
    DOI: 10.1016/j.jmacro.2013.05.005
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    More about this item

    Keywords

    Debt; Government budget composition; Heterogeneous agent model; Idiosyncratic shock; Inequality; Welfare;
    All these keywords.

    JEL classification:

    • E17 - Macroeconomics and Monetary Economics - - General Aggregative Models - - - Forecasting and Simulation: Models and Applications
    • E60 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - General
    • H60 - Public Economics - - National Budget, Deficit, and Debt - - - General
    • I30 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General

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