an important source of inequality in lifetime earnings. To establish this we develop and calibrate a rich heterogeneous … calibrated model implies that almost 20 percent of the variance in lifetime earnings is accounted for by differences in lifetime … lifetime earnings via two channels: a direct channel (more hours spent in production at given productivity) and a human capital …

in place. After a tax reform in 2005 that created strong incentives to retain earnings within businesses, the increase … was massive: accounting for earnings retained in the corporate sector leads to more than doubling of the share of income … of top 0.1% in some years. Furthermore, adjusting for retained earnings stabilizes the composition of the top income …

We review research on the dynamics and distribution of individual earnings and family income. We start with univariate … earnings models, which dominate the literature and are often used as the exogenous component of family income in structural … model parameters. The recent work provides a much richer description of the nature of earnings volatility than the basic …

illustrate IDDA's relevance for understanding income inequality trends. First, we extend Bayer and Charles (2018) beyond earnings … gaps between Black and White men and document that, unlike those for other groups, earnings for both Black men and Black … women fell behind earnings for White men following the Great Recession. This trend lasted through 2019, the end of the data …