Diversity in Motion: Essays on Macro-Dynamics and Heterogeneity

This thesis represents a comprehensive exploration of the intricacies of macroeconomic dynamics through the lens of heterogeneous agents. The research navigates through three pivotal chapters with a foundation built on the transformative shift toward incorporating diversity in economic agents. Chapter 1 pioneers a groundbreaking savings target mecha- nism, offering a nuanced understanding of consumption dynamics in response to transitory income shocks. Chapter 2 strategically positions itself at the intersection of financial phe- nomena and economic fluctuations, unveiling the multifaceted impact of informality on developing economies. Chapter 3 critically evaluates the consumption habits hypothesis, introducing an innovative mechanism rooted in an asymmetric income diffusion process within a network perspective. Each chapter contributes to theoretical innovation and pro- poses to bridge the gap between economic theory and observed empirical realities, offering valuable insights for policymakers and enriching the landscape of macroeconomic research.