Demographic Change, Wealth Transmission and Inequality
By: Prof. Frank Cowell, London School of Economics and Political Science
Date & time: Monday 29, June 2026 - 17:30-18:30 [Luxembourg Local Time]
Place: BlackBox, Ground floor, Maison des Sciences Humaines (MSH), 11, porte des Sciences, L-4366 Esch-Belval, Luxembourg
Over the last two centuries many countries have undergone substantial demographic changes that have long-term consequences for their economies. The pattern of these changes was broadly similar across countries: (1) a decrease in child mortality, (2) an increase in life expectancy, (3) a decrease in fertility. Using a model of wealth accumulation and inheritance, we look at the implication of these changes for the distribution of wealth. It turns out that, in the context of wealth inequality, (1) is irrelevant, (2) is mildly important and (3) is hugely important, but in the opposite direction from (2).
We use two important aids in this ambitious task. First, the concept of an equilibrium distribution helps to describe the complexity of what is happening in a wealth-inequality story that is driven by inheritance. Second, the discussion is based on the outcome of a giant real-life experiment on a population with over a billion people.
Please note that this is in-person event with no virtual attendance option.