1: Education, risk, and redistribution

The rise in U.S. wage inequality has caused substantial concern and debate. The presumption is that this has had sharply negative welfare consequences for US households, in particular for low skilled.

Illuminate the welfare effects of a changing wage structure

The aim of this subproject is to illuminate the welfare effects of a changing wage structure - including a rising college premium - and to investigate how these changes influence the optimal government policy in general equilibrium.

Several types of government redistribution policies will be considered:

- progressive taxation

- disability pensions

- educational subsidies

 

Published July 7, 2014 1:07 PM - Last modified Sep. 9, 2015 3:47 PM