Empirical Approaches to the Problem, of Aggregation Over Individuals (Classic Reprint) - Softcover

Inhaltsangabe

Excerpt from Empirical Approaches to the Problem, of Aggregation Over Individuals

The presence of these kinds of differences have one strong implication for aggregate economic activity. Namely, it matters how many households are large or small, how many are elderly and young, and how many companies are capital-intensive or labor-intensive. Such heterogeneity of concerns and reactions are an essential feature of the overall welfare impacts of changes in food prices, the overall impacts of interest rates on savings, or the impact of an investment tax credit. It is difficult to conceive of an important question of economic policy that does not have a distributional component, or a differential impact on economic players. It is likewise hard to envision how the impacts of relative price changes or of real income growth could be adequately summarized over time without some attention to the composition of the economy. Concerns over the issues raised by compositional heterogeneity of data on groups, such as data on economy-wide aggregates over time, are summarized under the heading of the problem of aggregation over individuals. Over the past decade, various approaches have been developed to account for compositional heterogeneity in empirical modeling of aggregate data, and the purpose of this survey is to discuss this work.

Die Inhaltsangabe kann sich auf eine andere Ausgabe dieses Titels beziehen.