This paper develops a theory in which households prepare for future education by adjusting the number of children they intend to raise. Income inequality lowers output per worker only if the inequality is attributed in some part to unexpected disturbances after childbirth.

This paper develops a dynamic theory that accounts for the evolution of trade policy, underlying internal class conflicts, and output growth performance over the last few centuries. By analyzing political responses to the distributional effects of international trade, it finds a prominent...