Yoshiaki Sugimoto (2006) “Inequality, Growth, and Overtaking” Macroeconomic Dynamics, 10, 2006, 625–651.
We regret that Figures 2 and 4 in this article were incorrectly printed in Volume 10, Number 5 of Macroeconomic Dynamics. These figures, in their correct format, can be seen below.
Page 637, 10:5. Figure 2: The Evolution of Intergenerational Transfers.
The Evolution of Intergenerational Transfers. The regions below and above the 45° line, respectively, depict the evolution of intergenerational transfers for a small fraction of the rich, λS, and for a large fraction of the rich, λL. The pair (btS,btL) converges to one of the points (0,0), $(\skew{-1}\bar{b}^{S},0)$ or $(\skew{-1}\bar{b}^{\ast},\skew{-1}\bar{b}^{\ast}),$ depending on the initial amount and allocation of aggregate transfers.
Yoshiaki Sugimoto (2006) “Inequality, Growth, and Overtaking” Macroeconomic Dynamics, 10, 2006, 625–651.
Page 643, 10:5. Figure 4: The Evolution of Output for a Large Fraction of the Rich.
The Evolution of Output for a Large Fraction of the Rich. Unlike $\bar{Y}^{S}$ in Figure 3, $\bar{Y}^{L}$ is a conditional steady-state level of output in Regime 1, because it is higher than the take-off level ŶL. Hence, even if the economy initially operates in Regime 1, its output ultimately exceeds ŶL and converges to the steady-state level $\bar{Y}^{\ast}$ in Regime 3.