Previous literature has mainly focused on either income trajectories of higher education graduates in working life or in retirement. This paper advances this literature by investigating the inequalities of income trajectories at the transition into retirement and compare the trajectories to other educational graduates for the case of Germany. While cumulative advantage theory suggests that education-based ...
Does artificial intelligence (AI) change the transmission of monetary policy? We develop a two-sector heterogeneous-agent New Keynesian model with task-based production, in which AI automates part of the work in one exposed sector and leaves the other shielded. In the AI steady state, the economy holds more capital, and labor income shifts from the exposed workers, who lose through hours, to the shielded ...
