, which provides an integrated framework for analyzing the local determinants of inequality and growth. Five main conclusions … aggregate growth and in the Pareto sense, especially in the long run. Fourth, when state-wide equalization of school … lowers it in richer communities; thus average academic performance and income growth both fall. Yet it may still be possible …

for missing credit and insurance markets. The resulting tradeoffs for growth and efficiency are explored, both … to higher income growth than taxes and transfers, but at the cost of lower insurance. Overall efficiency is assessed …