Innovation and Consumption Inequality in an Agent Based Macroeconomic Model
نویسنده
چکیده
This paper explores the relationship between product innovation and consumption inequality. We employ a modified version of the agent-based macroeconomic model in Georges (2011, 2015). A rise in rents accruing to salaried workers can shift both production and R&D spending toward products consumed by that class of worker. The increase in income inequality will then have a magnified impact on consumption inequality.
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