TY  - JOUR
N1  - This article is distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution, and reproduction in any medium, provided you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license, and indicate if changes were made.
SP  - 93
Y1  - 2019/03//
TI  - Inequality, mobility and the financial accumulation process: a computational economic analysis
EP  - 119
AV  - public
N2  - Our computational economic analysis investigates the relationship between inequality, mobility and the financial accumulation process. Extending the baseline model by Levy et al., we characterise the economic process through stylised return structures generating alternative evolutions of income and wealth through time. First, we explore the limited heuristic contribution of one and two-factors models comprising one single stock (capital wealth) and one single flow factor (labour) as pure drivers of income and wealth generation and allocation over time. Second, we introduce heuristic modes of taxation in line with the baseline approach. Our computational economic analysis corroborates that the financial accumulation process featuring compound returns plays a significant role as source of inequality, while institutional arrangements including taxation play a significant role in framing and shaping the aggregate economic process that evolves over socioeconomic space and time.
JF  - Journal of Economic Interaction and Coordination
VL  - 14
UR  - https://doi.org/10.1007/s11403-019-00236-7
A1  - Biondi, Y
A1  - Righi, S
IS  - 1
KW  - Inequality
KW  -  Economic process
KW  -  Compound interest
KW  -  Simple interest
KW  -  Taxation
KW  -  Computational economics
ID  - discovery10066646
ER  -