The evolution of income distribution over two centuries is an attractive topic because it allows one to test the inverse U-curve hypothesis using long series instead of cross-section data. In Section 1 the distribution trends in countries where global data are available, is considered, that is in four Scandinavian countries, the Netherlands, the German states and Germany, and in France. The inverse U-curve hypothesis is verified in four of them. Section 2 presents in a consistent framework, using the Theil indicator, all available information on inequality trends between agricultural and nonagricultural sectors and on inequality trends within each sector in European countries. Finally Section 3 throws light on the political and economic factors explaining the long-term evolution of distribution. The economic factors playing a key role are the market structures, the diffusion of education and saving, and dualism.
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ReDIF This chapter was published in: A.B. Atkinson & F. Bourguignon (ed.) Handbook of Income Distribution, , chapter 04, pages 217-260, 2000.
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This chapter was published in the following book, which is listed on IDEAS: A.B. Atkinson & F. Bourguignon (ed.), 2000.
"Handbook of Income Distribution,"
Handbook of Income Distribution,
Elsevier,
edition 1, volume 1, number 1.
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Find related papers by JEL classification: O15 - Economic Development, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration