Since the Industrial Revolution, the concentration of wealth held by a minority of agents that benefitted from intergenerational wealth and education was redistributed. Workers became more productive, and economies began accumulating capital. As households became wealthier, economic inequalities narrowed, yet heterogeneity remained – not all were equal in labour market skills nor had equal access to financial markets.

It seems clear that if heterogeneities are ubiquitous in economies, serious dynamic models should account for these.