Income Distribution, Investment, and Growth
AbstractThis paper carries out an empirical investigation on the determinants of economic growth for a group of 45 countries, including developed and developing economies. The paper focuses on the relationship between growth and income distribution. Unlike the traditional approach in which causality runs from growth to distribution, we hypothesize that greater inequality in income distribution retards a country's growth process, because greater inequality increases the possibility of social conflict.
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Bibliographic InfoPaper provided by Harvard - Institute for International Development in its series Papers with number 596.
Length: 24 pages
Date of creation: 1997
Date of revision:
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Postal: CAER Project, Harvard Institute for International Development, 14 Story Street, Cambridge MA 02138O
Web page: http://www.hiid.harvard.edu/
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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
- O4 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity
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- Ravallion, Martin, 1998. "Does aggregation hide the harmful effects of inequality on growth?," Economics Letters, Elsevier, vol. 61(1), pages 73-77, October.
- Seguino, Stephanie, 2000. "Gender Inequality and Economic Growth: A Cross-Country Analysis," World Development, Elsevier, vol. 28(7), pages 1211-1230, July.
- Stephanie Seguino, 2000. "Accounting for Gender in Asian Economic Growth," Feminist Economics, Taylor & Francis Journals, vol. 6(3), pages 27-58.
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