The Redistributive Effects of Monetary Policy Across Generations

Olga Bondarenko ()
Additional contact information
Olga Bondarenko: National Bank of Ukraine

Visnyk of the National Bank of Ukraine, 2018, issue 244, 44-60

Abstract: The paper revises the redistributive channels of monetary policy transmission and their impact on income and wealth distributions in a New-Keynesian Overlapping Generations (OLG) model. The model mimics total asset holdings and earnings processes of several types of households across generations, based on their attitude to saving and income group. In this environment, expansionary monetary shocks stimulate capital and debt accumulation to a larger extent for middle-aged individuals, contributing to intergenerational inequality. Heterogeneity of labor income augments this effect, benefitting richer and more productive workers.

Keywords: Monetary policy; wealth redistribution; overlapping generations; heterogeneous agents (search for similar items in EconPapers)
JEL-codes: D31 E12 E21 E52 (search for similar items in EconPapers)
Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://journal.bank.gov.ua/en/article/2018/244/03 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ukb:journl:y:2018:i:244:p:44-60

DOI: 10.26531/vnbu2018.244.03

Access Statistics for this article

More articles in Visnyk of the National Bank of Ukraine from National Bank of Ukraine Contact information at EDIRC.
Bibliographic data for series maintained by Research Unit ().