Advanced Search
MyIDEAS: Login to save this paper or follow this series

Wage Inequality in a Dual Economy

Contents:

Author Info

  • Jonathan Temple

    ()

Abstract

This paper presents necessary and sufficient conditions for unambiguous changes in wage inequality in a dual economy, based on analysis of the entire Lorenz curve. These conditions are then used to analyze the distributional consequences of various types of economic growth. In particular, it is shown that capital accumulation or technical progress in agriculture is likely to reduce wage inequality, but the effects of development in non-agriculture are typically ambiguous. The paper also discusses the implications of this analysis for the Kuznets curve.

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL: http://www.efm.bris.ac.uk/economics/working_papers/pdffiles/dp02531.pdf
Download Restriction: no

Bibliographic Info

Paper provided by Department of Economics, University of Bristol, UK in its series Bristol Economics Discussion Papers with number 02/531.

as in new window
Length: 23 pages
Date of creation: Apr 2002
Date of revision:
Handle: RePEc:bri:uobdis:02/531

Contact details of provider:
Postal: 8 Woodland Road, Bristol, BS8 1TN
Phone: 0117 928 8415
Fax: 0117 928 8577
Email:
Web page: http://www.efm.bris.ac.uk/
More information through EDIRC

Related research

Keywords: dualism; inequality; growth;

Find related papers by JEL classification:

This paper has been announced in the following NEP Reports:

References

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
as in new window
  1. Bourguignon, F. & Morrisson, C., 1995. "Inequality and Development: The Role of Dualism," DELTA Working Papers, DELTA (Ecole normale supérieure) 95-32, DELTA (Ecole normale supérieure).
  2. W. Bentley MacLeod & James Malcomson, 1997. "Motivation and Markets," Boston College Working Papers in Economics, Boston College Department of Economics 339., Boston College Department of Economics.
  3. Kanbur, Ravi, 1998. "Income Distribution and Development," Working Papers, Cornell University, Department of Applied Economics and Management 179323, Cornell University, Department of Applied Economics and Management.
  4. Kanbur, S M Ravi & McIntosh, James P, 1988. "Dual Economy Models: Retrospect and Prospect," Bulletin of Economic Research, Wiley Blackwell, Wiley Blackwell, vol. 40(2), pages 83-113, April.
  5. Anand, Sudhir & Kanbur, S. M. R., 1993. "The Kuznets process and the inequality--development relationship," Journal of Development Economics, Elsevier, Elsevier, vol. 40(1), pages 25-52, February.
  6. James E. Rauch, 1991. "Economic Development, Urban Underemployment, and Income Inequality," NBER Working Papers 3758, National Bureau of Economic Research, Inc.
  7. Fields, Gary S., 1997. "Wage floors and unemployment: A two-sector analysis," Labour Economics, Elsevier, Elsevier, vol. 4(1), pages 85-91, March.
  8. Basu, Kaushik C, 1980. "Optimal Policies in Dual Economies," The Quarterly Journal of Economics, MIT Press, MIT Press, vol. 95(1), pages 187-96, August.
  9. Jeremiah. Allen, 2001. "The State of the Art in Modeling Migration in the LDCS: A Comment," Journal of Regional Science, Wiley Blackwell, Wiley Blackwell, vol. 41(3), pages 521-528.
  10. Hoddinott, John, 1996. "Wages and Unemployment in an Urban African Labour Market," Economic Journal, Royal Economic Society, Royal Economic Society, vol. 106(439), pages 1610-26, November.
  11. Lipton, Michael, 1980. "Migration from rural areas of poor countries: The impact on rural productivity and income distribution," World Development, Elsevier, Elsevier, vol. 8(1), pages 1-24, January.
  12. Chakravarty, Satya R. & Dutta, Bhaskar, 1990. "Migration and welfare," European Journal of Political Economy, Elsevier, Elsevier, vol. 6(1), pages 119-138, August.
  13. Gupta, Manash Ranjan, 1994. "Foreign capital, income inequality and welfare in a Harris-Todaro model," Journal of Development Economics, Elsevier, Elsevier, vol. 45(2), pages 407-414, December.
  14. Fields, Gary S, 1979. "A Welfare Economic Approach to Growth and Distribution in the Dual Economy," The Quarterly Journal of Economics, MIT Press, MIT Press, vol. 93(3), pages 325-53, August.
  15. Valerie R. Bencivenga & Bruce D. Smith, 1995. "Unemployment, migration, and growth," Working Papers, Federal Reserve Bank of Minneapolis 561, Federal Reserve Bank of Minneapolis.
  16. Corden, W M & Findlay, Ronald, 1975. "Urban Unemployment, Intersectoral Capital Mobility and Development Policy," Economica, London School of Economics and Political Science, London School of Economics and Political Science, vol. 42(165), pages 59-78, February.
  17. Beladi, Hamid & Naqvi, Nadeem, 1988. "Urban unemployment and non-immiserizing growth," Journal of Development Economics, Elsevier, Elsevier, vol. 28(3), pages 365-376, May.
  18. Charles A. Ingene, 2001. "The State of the Art in Modeling Migration in LDCS: A Comment," Journal of Regional Science, Wiley Blackwell, Wiley Blackwell, vol. 41(3), pages 529-543.
  19. Rodrik, Dani, 1996. "Coordination failures and government policy: A model with applications to East Asia and Eastern Europe," Journal of International Economics, Elsevier, Elsevier, vol. 40(1-2), pages 1-22, February.
  20. Fields, Gary S., 2005. "A welfare economic analysis of labor market policies in the Harris-Todaro model," Journal of Development Economics, Elsevier, Elsevier, vol. 76(1), pages 127-146, February.
  21. Frances Stewart, . "Income Distribution and Development," QEH Working Papers, Queen Elizabeth House, University of Oxford qehwps37, Queen Elizabeth House, University of Oxford.
  22. Bourguignon, Francois, 1990. "Growth and Inequality in the Dual Model of Development: The Role of Demand Factors," Review of Economic Studies, Wiley Blackwell, Wiley Blackwell, vol. 57(2), pages 215-28, April.
Full references (including those not matched with items on IDEAS)

Citations

Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
as in new window

Cited by:
  1. Lommerud, K.E. & Sandvik, B. & Straume, O.R., 2001. "Good Jobs, Bad Jobs and Redistribution," Norway; Department of Economics, University of Bergen, Department of Economics, University of Bergen 1401, Department of Economics, University of Bergen.
  2. Pi, Jiancai & Zhou, Yu, 2012. "Public infrastructure provision and skilled–unskilled wage inequality in developing countries," Labour Economics, Elsevier, Elsevier, vol. 19(6), pages 881-887.

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:bri:uobdis:02/531. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Jonathan Temple).

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.