Demand Composition and Income Distribution

D. Pothier, Damien Puy
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引用次数: 3

Abstract

This paper highlights how changes in the composition of demand affect income dispersionin the short run. We first document how the share of aggregate spending dedicated tolabour-intensive goods and services shrinks (expands) during downturns (booms), andargue that this contributes to the observed pro-cyclicality of employment and output inlabour-intensive industries. Using a two-sector general equilibrium model, we then assesshow this demand composition channel influences the cyclical properties of the incomedistribution. Consistent with empirical evidence, we find income inequality to be countercyclicaldue to changes in the level of employment and (to a lesser extent) relative factorprices. The model also shows that wealth redistribution policies can potentially involve atrade-off between equality and output, depending on how they affect the composition ofaggregate demand.
需求构成与收入分配
本文强调了需求构成的变化如何在短期内影响收入分散。我们首先记录了在经济衰退(繁荣)期间,用于劳动密集型商品和服务的总支出份额是如何收缩(扩张)的,并认为这有助于观察到的劳动密集型产业就业和产出的顺周期性。然后,利用两部门一般均衡模型,我们评估了这种需求构成渠道对收入分配周期性特性的影响。与经验证据一致,我们发现由于就业水平的变化和(在较小程度上)相对要素价格的变化,收入不平等是反周期的。该模型还表明,财富再分配政策可能涉及平等与产出之间的权衡,这取决于它们如何影响总需求的构成。
本文章由计算机程序翻译,如有差异,请以英文原文为准。
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