Intergenerational geometric transfers of income

Encarnaci\'on Algaba, Juan Moreno-Ternero, Eric R\'emila and Philippe Solal

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Abstract: We study intergenerational transfers of income. In our stylized model, each generation in an infinite (but countable) stream is endowed with some income. An allocation rule associates with each infinite stream another stream, thus involving intergenerational transfers of income. We single out a family of geometric rules as a consequence of imposing axioms formalizing the principles of consistency, continuity and independence (as well as the basic requirements of feasibility and scale invariance).

Date: 2026-03
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