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Inequality and Well-Being in Transition: Linking Experience and Perception to Policy Preferences

In: The Palgrave Handbook of Comparative Economics

Author

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  • Alexandru Cojocaru

    (Poverty Equity Global Practice, The World Bank)

Abstract

This chapter reviews the dynamics of economic inequality in the region from the early 1990s until today, distinguishing between actual and perceived inequality dynamics. It then looks at whether inequality matters for the well-being of people, and for their policy preferences. The evidence reviewed shows that the early 1990s saw a sharp increase in inequality, although reliable data from that period is patchy. Over the past 2 decades, on the other hand, income inequality has been declining in the majority of transition economies. These dynamics in observed inequality are somewhat at odds with perceptions of inequality being relatively high, and the chapter reviews some of the possible drivers of the discrepancy, with a focus on inequality of opportunity and considerations of fairness.

Suggested Citation

  • Alexandru Cojocaru, 2021. "Inequality and Well-Being in Transition: Linking Experience and Perception to Policy Preferences," Springer Books, in: Elodie Douarin & Oleh Havrylyshyn (ed.), The Palgrave Handbook of Comparative Economics, edition 1, chapter 27, pages 695-729, Springer.
    • Handle: RePEc:spr:sprchp:978-3-030-50888-3_27
    DOI: 10.1007/978-3-030-50888-3_27
    as

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