Macroeconomics at the intermediate and graduate levels rests on three workhorses: the
Solow-Swan model, the overlapping generations (OLG) model, and the Ramsey model. The …

The relationship between growth and inequality is complex. After discussing some general
background issues, motivated by extensive empirical evidence this paper focuses on public …

We survey numerical methods that are tractable in dynamic economic models with a finite,
large number of continuous state variables.(Examples of such models are new Keynesian …

This article studies the macroeconomic implications of imperfect risk sharing implied by a
class of New Keynesian models with heterogeneous agents. The models in this class can be …

We examine the evolution of the distributions of wealth and income in a Ramsey model in
which agents differ in their initial capital endowment and where the labor supply is …

We revisit a seminal capital-skill complementarity analysis of Krusell et al.(2000). We
extended their 1963–1992 data set to include the 1992–2017 period. We find that over the …

We examine how changes in tax policies affect the dynamics of the distributions of wealth
and income in a Ramsey model in which agents differ in their initial capital endowments …

This paper studies a complete-market version of the neoclassical growth model, where
agents face idiosyncratic shocks to earnings. We show that if agents possess identical …

We use the stochastic simulation algorithm, described in Judd et al.(2009), and the cluster-
grid algorithm, developed in Judd et al.(2010a), to solve a collection of multi-country real …

This paper reviews some recent research analyzing the growth-inequality relationship
among heterogeneous agents. The primary source of heterogeneity is due to the initial …