This survey reviews models of self-reinforcing mechanisms that cause poverty to persist. Some of them examine market failure in environments where the neoclassical assumptions on markets and technology break down. Other mechanisms include institutional failure which can, by itself, perpetuate...

This paper proposes and implements a method to predict evolution of the crosscountry income distribution from a nonconvex growth model with unbounded productivity shocks, fitted to panel data by threshold autoregresion. We estimate the stochastic kernel of the process, and define inducively all...

This survey reviews models of self-reinforcing mechanisms that cause poverty to persist. Some of them examine market failure in environments where the neoclassical assumptions on markets and technology break down. Other mechanisms include institutional failure which can, by itself, perpetuate...