Journal Article

Diversification as Income Maximizing Strategy

Journal of Income Distribution

In a simple model, I demonstrate that the U-shaped relationship

between income and income diversification typically found in developing

countries can be explained without any risk considerations. It

might be the result of pure income maximization in an environment with limited

possibilities.

Author

Wolfgang Lechthaler - Kiel Institute
Wolfgang Lechthaler

Info

Publication Date
JEL Classification
I30, O15