Interpreting Life Cycle Inequality Patterns as an Efficient Allocation: Mission Impossible?

Alejandro Badel () and Mark Huggett

Review of Economic Dynamics, 2014, vol. 17, issue 4, 613-629

Abstract: The life-cycle patterns of consumption, wage and hours inequality observed in U.S. cross-section data are commonly viewed as incompatible with a Pareto efficient allocation. We determine the extent to which these qualitative and quantitative patterns can or cannot be produced by Pareto efficient allocations in models with preference shocks, wage shocks and full information. (Copyright: Elsevier)

Keywords: Life cycle; Inequality; Efficient Allocation; Preference shocks (search for similar items in EconPapers)
JEL-codes: D52 D91 E21 (search for similar items in EconPapers)
Date: 2014
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4)

Downloads: (external link)
http://dx.doi.org/10.1016/j.red.2014.02.002
Access to full texts is restricted to ScienceDirect subscribers and institutional members. See http://www.sciencedirect.com/ for details.

Related works:
Software Item: Code and data files for "Interpreting Life Cycle Inequality Patterns as an Efficient Allocation: Mission Impossible?" (2014)
Working Paper: Interpreting life-cycle inequality patterns as an efficient allocation: mission impossible? (2010)
Working Paper: Interpreting Life-Cycle Inequality Patterns asan Efficient Allocation: Mission Impossible? (2007)
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:red:issued:12-119

Ordering information: This journal article can be ordered from
https://www.economic ... ription-information/

DOI: 10.1016/j.red.2014.02.002

Access Statistics for this article

Review of Economic Dynamics is currently edited by Loukas Karabarbounis

More articles in Review of Economic Dynamics from Elsevier for the Society for Economic Dynamics Contact information at EDIRC.
Bibliographic data for series maintained by Christian Zimmermann ().