degree of heterogeneity in household preferences or beliefs is sufficient to match empirical measures of wealth inequality in … the United States. The heterogeneity-augmented model’s predictions are consistent with microeconomic evidence that … macroeconomic models (even ones including some heterogeneity). The high MPC arises because many consumers hold little wealth despite …

Was the increase in income inequality in the US due to permanent shocks or merely to an increase in the variance of … changes, transitory and permanent shocks and estimate the contribution of each to total inequality. Our model fits the joint … evolution of consumption and income inequality well and delivers two main results. First, we find that permanent changes in …

Was the increase in income inequality in the US due to permanent shocks or merely to an increase in the variance of …-cycle changes, transitory and permanent shocks and estimate the contribution of each to total inequality. Our model fits the joint … evolution of consumption and income inequality well and delivers two main results. First, we find that permanent changes in …

Was the increase in income inequality in the US due to permanent shocks or merely to an increase in the variance of …-cycle changes, transitory and permanent shocks and estimate the contribution of each to total inequality. Our model fits the joint … evolution of consumption and income inequality well and delivers two main results. First, we find that permanent changes in …

used to estimate the discount rates of households. We show that there is substantial heterogeneity in discounting behaviour …

used to estimate the discount rates of households. We show that there is substantial heterogeneity in discounting behaviour …

different average returns on their net worth (a standard deviation of 8.6%) and on its components. Second, heterogeneity in … heterogeneity in sophistication and financial information, as well as entrepreneurial talent. Finally, wealth returns are correlated … across generations. We discuss the implications of these findings for several strands of the wealth inequality debate. …

(a standard deviation of 8%). Second, heterogeneity in returns does not arise merely from differences in the allocation … differences in risk exposure and assets scale, it also reflects persistent heterogeneity in sophistication and financial … implications of these findings for several strands of the wealth inequality debate. …

(a standard deviation of 8%). Second, heterogeneity in returns does not arise merely from differences in the allocation … differences in risk exposure and assets scale, it also reflects persistent heterogeneity in sophistication and financial … implications of these findings for several strands of the wealth inequality debate. …