Sectoral Reallocation, Growth and Labor Income Inequality

Hernan Moscoso Boedo

Virginia Economics Online Papers from University of Virginia, Department of Economics

Abstract: This paper focuses on the transitory relationship between output level and Income inequality. As a result of either permanent or transitory sectoral technological shocks the economy will adjust to a new steady state equilibrium, but during the transition the dynamics of wages and workers will generate departures from the steady state level of income inequality.

Keywords: inequality; productivity (search for similar items in EconPapers)
JEL-codes: E2 J3 (search for similar items in EconPapers)
Pages: 33 pages
Date: 2006-05
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Persistent link: https://EconPapers.repec.org/RePEc:vir:virpap:373

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