these investments, output levels and growth. In this context, inequality plays a key role both as a determinant of the …

between skilled labor and unskilled labor wages. The question we ask is how the growth process shapes the wage inequality and … inequality. First, we prove the existence of equilibrium paths. Then we show that there exists a continuum of steady … of income inequality between skilled and unskilled workers and income in-equality among the skilled workers. The former …

determining inequality, as tax changes that affect hours of work will affect the distribution of wealth and income, reinforcing or …