The distribution of wealth and fiscal policy in economies with finitely lived agents
---- Acknowledgements ----
We gratefully acknowledge Daron Acemoglu's extensive comments on an earlier paper on the same subject, which have lead us to the formulation in this paper. We also acknowledge the commments of three referees, as well as conversations with Marco Bassetto, Alberto Bressan, Gianluca Clementi, Isabel Correia, Mariacristina De Nardi, Raquel Fernandez, Xavier Gabaix, Leslie Greengard, Frank Hoppensteadt, Boyan Jovanovic, Nobu Kiyotaki, John Leahy, Omar Licandro, Chris Phelan, Hamid Sabourian, Tom Sargent, Ennio Stacchetti, Pedro Teles,Viktor Tsyrennikov, Gianluca Violante, Ivan Werning, and Ed Wolff. Thanks to Nicola Scalzo and Eleonora Patacchini for help with "impossible" Pareto references in dusty libraries. We also gratefully acknowledge Viktor Tsyrennikov's expert research assistance. This paper is part of the Polarization and Conflict Project CIT-2-CT-2004-506084 funded by the European Commission-DG Research Sixth Framework Programme. The views expressed herein are those of the author(s) and do not necessarily reflect the views of the National Bureau of Economic Research.