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Abstract We explore the impact of rising incomes at the top of the distribution on spatial sorting patterns within large U.S. cities. We develop and quantify a spatial model of a city with heterogeneous agents and non-homothetic preferences for neighbourhoods with endogenous amenity quality. As the rich get richer, demand increases for the high-quality amenities available in downtown neighbourhoods. Rising demand drives up house prices and spurs the development of higher quality neighbourhoods downtown. This gentrification of downtowns makes poor incumbents worse off, as they are either displaced to the suburbs or pay higher rents for amenities that they do not value as much. We quantify the corresponding impact on well-being inequality. Through the lens of the quantified model, the change in the income distribution between 1990 and 2014 led to neighbourhood change and spatial resorting within urban areas that increased the welfare of richer households relative to that of poorer households, above and beyond rising nominal income inequality. 

JAMIE LENNEY, BYRON LUTZ, FINN SCHÜLE, and LOUISE SHEINER: "The Sustainability of State and Local Pensions: A Public Finance Approach" Comment by Deborah Lucas Comment by Joshua Rauh General Discussion PANEL on COVID-19 AND ECONOMIC POLICY AFTER ONE YEAR ANDREW ATKESON: "Behavior and the Dynamics of Epidemics" CHRISTINA D. ROMER: "The Fiscal Policy Response to the Pandemic" KRISTA RUFFINI and ABIGAIL WOZNIAK: "Supporting Workers and Families in the Pandemic Recession: Results in 2020 and Suggestions for 2021" General Discussion ANDREW METRICK and DANIEL TARULLO: "Congruent Financial Regulation" Comment by Viral Acharya Comment by Hyun Song Shin General Discussion PANEL on FIFTY YEARS OF BPEA’S CONTRIBUTIONS TO MACROECONOMICS AND POLICY ROBERT E. HALL: "The Brookings Panel’s Contributions to Research on Labor Markets" ROBERT J. GORDON: "Productivity and Growth over the Years at BPEA" ALAN S. BLINDER: "BPEA and Monetary Policy over Fifty Years" WILL DOBBIE and CRYSTAL YANG: "The Economic Costs of Pretrial Detention" Comment by Conrad Miller Comment by Justin Wolfers General Discussion CAROLINE M. HOXBY: "Advanced Cognitive Skill Deserts in the United States: Their Likely Causes and Implications" Comment by Erik Hurst Comment by Brian A. Jacob General Discussion 

JAMIE LENNEY, BYRON LUTZ, FINN SCHÜLE, and LOUISE SHEINER: "The Sustainability of State and Local Pensions: A Public Finance Approach" Comment by Deborah Lucas Comment by Joshua Rauh General Discussion PANEL on COVID-19 AND ECONOMIC POLICY AFTER ONE YEAR ANDREW ATKESON: "Behavior and the Dynamics of Epidemics" CHRISTINA D. ROMER: "The Fiscal Policy Response to the Pandemic" KRISTA RUFFINI and ABIGAIL WOZNIAK: "Supporting Workers and Families in the Pandemic Recession: Results in 2020 and Suggestions for 2021" General Discussion ANDREW METRICK and DANIEL TARULLO: "Congruent Financial Regulation" Comment by Viral Acharya Comment by Hyun Song Shin General Discussion PANEL on FIFTY YEARS OF BPEA’S CONTRIBUTIONS TO MACROECONOMICS AND POLICY ROBERT E. HALL: "The Brookings Panel’s Contributions to Research on Labor Markets" ROBERT J. GORDON: "Productivity and Growth over the Years at BPEA" ALAN S. BLINDER: "BPEA and Monetary Policy over Fifty Years" WILL DOBBIE and CRYSTAL YANG: "The Economic Costs of Pretrial Detention" Comment by Conrad Miller Comment by Justin Wolfers General Discussion CAROLINE M. HOXBY: "Advanced Cognitive Skill Deserts in the United States: Their Likely Causes and Implications" Comment by Erik Hurst Comment by Brian A. Jacob General Discussion 

DAVID POPP, FRANCESCO VONA, GIOVANNI MARIN and ZIQIAO CHEN: “The Employment Impact of a Green Fiscal Push: Evidence from the American Recovery and Reinvestment Act “ Comments by Gabriel Chodorow-Reich and Valerie A. Ramey and General Discussion SHELBY R. BUCKMAN, LAURA Y. CHOI, MARY C. DALY and LILY M. SEITELMAN: “The Economic Gains from Equity” Comments by Nicole Fortin and Erik Hurst and General Discussion SUSAN CHERRY, ERICA JIANG, GREGOR MATVOS, TOMASZ PISKORSKI and AMIT SERU: “Government and Private Household Debt Relief during COVID-19” Comments by Pascal Noel and Susan Wachter and General Discussion KEVIN RENNERT, BRIAN C. PREST, WILLIAM A. PIZER, RICHARD G. NEWELL, DAVID ANTHOFF, CORA KINGDON, LISA RENNELS, ROGER COOKE, ADRIAN E. RAFTERY, HANA ŠEVČÍKOVÁ and FRANK ERRICKSON: “The Social Cost of Carbon: Advances in Long-Term Probabilistic Projections of Population, GDP, Emissions, and Discount Rates" RICARDO REIS: “Losing the Inflation Anchor” Comments by Alan S. Blinder and Yuriy Gorodnichenko and General Discussion DAVID AUTOR, DAVID DORN and GORDON HANSON: “On the Persistence of the China Shock “ Comments by Marianne Bertrand and Edward Glaeser and General Discussion 

1. DAVID POPP, FRANCESCO VONA, GIOVANNI MARIN and ZIQIAO CHEN: “The Employment Impact of a Green Fiscal Push: Evidence from the American Recovery and Reinvestment Act “ Comments by Gabriel Chodorow-Reich and Valerie A. Ramey and General Discussion SHELBY R. BUCKMAN, LAURA Y. CHOI, MARY C. DALY and LILY M. SEITELMAN: “The Economic Gains from Equity” Comments by Nicole Fortin and Erik Hurst and General Discussion SUSAN CHERRY, ERICA JIANG, GREGOR MATVOS, TOMASZ PISKORSKI and AMIT SERU: “Government and Private Household Debt Relief during COVID-19” Comments by Pascal Noel and Susan Wachter and General Discussion KEVIN RENNERT, BRIAN C. PREST, WILLIAM A. PIZER, RICHARD G. NEWELL, DAVID ANTHOFF, CORA KINGDON, LISA RENNELS, ROGER COOKE, ADRIAN E. RAFTERY, HANA ŠEVČÍKOVÁ and FRANK ERRICKSON: “The Social Cost of Carbon: Advances in Long-Term Probabilistic Projections of Population, GDP, Emissions, and Discount Rates" RICARDO REIS: “Losing the Inflation Anchor” Comments by Alan S. Blinder and Yuriy Gorodnichenko and General Discussion DAVID AUTOR, DAVID DORN and GORDON HANSON: “On the Persistence of the China Shock “ Comments by Marianne Bertrand and Edward Glaeser and General Discussion 

1. DAVID POPP, FRANCESCO VONA, GIOVANNI MARIN and ZIQIAO CHEN: “The Employment Impact of a Green Fiscal Push: Evidence from the American Recovery and Reinvestment Act “ Comments by Gabriel Chodorow-Reich and Valerie A. Ramey and General Discussion SHELBY R. BUCKMAN, LAURA Y. CHOI, MARY C. DALY and LILY M. SEITELMAN: “The Economic Gains from Equity” Comments by Nicole Fortin and Erik Hurst and General Discussion SUSAN CHERRY, ERICA JIANG, GREGOR MATVOS, TOMASZ PISKORSKI and AMIT SERU: “Government and Private Household Debt Relief during COVID-19” Comments by Pascal Noel and Susan Wachter and General Discussion KEVIN RENNERT, BRIAN C. PREST, WILLIAM A. PIZER, RICHARD G. NEWELL, DAVID ANTHOFF, CORA KINGDON, LISA RENNELS, ROGER COOKE, ADRIAN E. RAFTERY, HANA ŠEVČÍKOVÁ and FRANK ERRICKSON: “The Social Cost of Carbon: Advances in Long-Term Probabilistic Projections of Population, GDP, Emissions, and Discount Rates" RICARDO REIS: “Losing the Inflation Anchor” Comments by Alan S. Blinder and Yuriy Gorodnichenko and General Discussion DAVID AUTOR, DAVID DORN and GORDON HANSON: “On the Persistence of the China Shock “ Comments by Marianne Bertrand and Edward Glaeser and General Discussion