@article{581356a20c594be59c29102de5566bfe,
title = "The wealth distribution in Bewley economies with capital income risk",
abstract = "We study the wealth distribution in Bewley economies with idiosyncratic capital income risk. We show analytically that under rather general conditions on the stochastic structure of the economy, a unique ergodic distribution of wealth displays a fat tail.",
keywords = "Bewley economies, Capital income risk, Fat tails, Pareto distribution, Wealth distribution",
author = "Jess Benhabib and Alberto Bisin and Shenghao Zhu",
note = "Funding Information: Thanks to Ben Moll for kindly providing us with very useful detailed comments and to Yi Lu for precious suggestions regarding various computational aspects. We also thank Ziwei Deng, Basant Kapur, JungJae Park, Jianguo Xu, Hanqin Zhang, and Jie Zhang. Shenghao Zhu acknowledges the financial support from National University of Singapore ( R-122-000-175-112 ). Publisher Copyright: {\textcopyright} 2015 Elsevier Inc.",
year = "2015",
doi = "10.1016/j.jet.2015.07.013",
language = "English (US)",
volume = "159",
pages = "489--515",
journal = "Journal of Economic Theory",
issn = "0022-0531",
publisher = "Academic Press Inc.",
}