HETEROGENEOUS AGENTS in Macroeconomics
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1. Introduction and Stylized Facts: Inequality in Macroeconomics
  • Guvenen, F. (2011): "Macroeconomics with Heterogeneity: A Practical Guide,'' Economic Quarterly, 97(3):255–326.
  • Heathcote, J., K. Storesletten, and G. Violante (2009): "Quantitative Macroeconomics with Heterogeneous Households,'' Annual Review of Economics, 1:319–54.
  • Quadrini. V. and J. Ríos-Rull (2015): "Inequality in Macroeconomics,'' Handbook of Income Distribution, Ch.14 Volumen 2B.

2. The Neoclassical Growth Model: A Review
  • Krueger, D. (2011), Macroeconomic Theory, mimeo. Chaps. 3-7
  • Ljunqvist, L. and T. Sargent (2001), Recursive Macroeconomic Theory, The MIT Press, Chap. 7 (pp. 191-197), 8, 12 y 13

3. Partial Equilibrium with Incomplete Markets: Precautionary Savings
  • Krueger, D. (2010), Consumption and Saving: Theory and Evidence, mimeo. Chaps. 3 y 4
  • Ljunqvist, L. and T. Sargent (2001), Recursive Macroeconomic Theory, The MIT Press, Chap. 16

4. Idiosincratic Shocks and Incomplete Markets: Stationary General Equilibrium
  • Krueger, D. (2010), Consumption and Saving: Theory and Evidence, mimeo. Sec. 5.1
  • Ljunqvist, L. and T. Sargent (2001), Recursive Macroeconomic Theory, The MIT Press, Chaps. 17
  • Aiyagari, R. (1994): "Uninsured Risk and Aggregate Savings,'' Quarterly Journal of Economics, 109:659-684.
  • Hugget, M (1993): "The Risk-free Rate in Heterogeneous-agent Incomplete-insurance Economies,'' Journal of Economic Dynamics and Control, 17:953-969.
  • Davila, J., J. Hong, P. Krusell, and V. Ríos-Rull (2012): "Constrained efficiency in the neoclassical growth model with uninsurable idiosyncratic shocks,'' Econometrica 80(6):2431-67.

5. Wealth Distribution.
  • Hugget, M (1996): "Wealth distribution in life-cycle economies,'' Journal of Monetary Economics, 38:469-494.
  • Castañeda A, Díaz-Giménez J, and Ríos-Rull J (2003): "Accounting for the US Earnings and Wealth Inequality,'' Journal of Political Economy 111(4):818-857.
  • De Nardi, M. (2015): "Quantitative Models of Wealth Inequality: A Survey,'' NBER Working Paper 21106.

6. Continuous Time.
  • Achdou, Y. J. Han, J. Lasry, P. Lions and B. Moll (2018): "Income and Wealth Distribution in Macroeconomics: A Continuous-Time Approach."

7. Transitions between Steady-States: Policy Evaluation
  • Krueger, D. (2010), Consumption and Saving: Theory and Evidence, mimeo. Sec. 5.3
  • Huggett, M. (1997): "The one-sector growth model with idiosyncratic shocks: Steady states and dynamics,'' Journal of Monetary Economics 39(3):385-403.
  • Kaymak and Poschke (2016): "The evolution of wealth inequality over half a century: The role of taxes, transfers and technology,'' Journal of Monetary Economics 77(3):1-25.

8. Aggregate Unceratinty and Idiosincratic Shocks: Business Cycles
  • Krueger, D. (2010), Consumption and Saving: Theory and Evidence, mimeo. Sec. 5.4
  • Krusell, P. and A. Smith (1998): "Income and Wealth Heterogeneity in the Macroeconomy,'' Journal of Political Economy 109(5):867-896.
  • Krueger, D., K. Mitman, and F. Perri (2016): "Macroeconomics and Household Heterogeneity,'' Handbook of Macroeconomics 2:843-921.
  • Aguirre (2017): "Welfare Effects of Fiscal Procyclicality: Public Insurance with Heterogeneous Agents," mimeo.

9. Political Equilibrium
  • Krusell, P. and V. Rios-Rull (1999): "On the size of US government: political economy in the neoclassical growth model,'' American Economic Review 89(5):1156-81.
  • Corbae, D., P. D’Erasmo, and B. Kuruscu (2009): "Politico-economic consequences of rising wage inequality,'' Journal of Monetary Economics, 56(1):43-61.
  • Bachmann, R. and J. H. Bai (2013): "Politico-economic inequality and the comovement of government purchases,'' Review of Economic Dynamics 16(4), 565-580.

10. Firm Heterogeneity and Models of Entrepreneurship
  • Clementi, G. and D. Palazzo (2016): "Entry, Exit, Firm Dynamics and Aggregate Fluctuations,'' Forthcoming in American Economic Journal: Macroeconomics.
  • Quadrini, V. (1997): "Entrepreneurship, Saving and Social Mobility,'' Review of Economic Dynamics 3:1-40.

11. Financial Frictions
  • Krueger, D. (2011), Macroeconomic Theory, mimeo, Chap. 6
  • Krueger, D. and F. Perri (2006): "Does Income Inequality Lead to Consumption Inequality: Evidence and Theory,'' Review of Economic Studies, 73, 163-193.
  • Zhang, H. (1997): "Endogenous borrowing constraints with incomplete markets,'' The Journal of Finance, 52(5):2187-2209.
  • Aguirre, A. (2017): "Contracting Institutions and Economic Growth,'' Review of Economic Dynamics 24:192-217.
  • Livshits, I., J. MacGee, and M. Tertilt (2007): "Consumer bankruptcy: A fresh start,'' The American Economic Review 97(1):402-418.

12. Labor Frictions: Search Models with Precautionary Savings
  • Krusell, P., T. Mukoyama and A. Sahin (2010): "Labour-market matching with precautionary savings and aggregate fluctuations,'' The Review of Economic Studies 77(4), 1477-1507.
  • Nakajima, M. (2012): "Business Cycles In The Equilibrium Model Of Labor Market Search And Self-Insurance.'' International Economic Review, 53(2):399-432.
  • Nakajima, M. (2012): "A quantitative analysis of unemployment benefit extensions,'' Journal of Monetary Economics 59(7):686-702.

13. Nominal Rigidities: Monetary Policy
  • Gornemann, N., K. Kuester and ​M. Nakajima (2016): "Doves for the rich, hawks for the poor? Distributional consequences of monetary policy.'' mimeo.