This paper explores the changes in inequality in Croatia during the period 1973-1998. The results based on the data from the Household Budget Surveys for 1973, 1978, 1983, 1988 and 1998 indicate that overall income inequality decreased in the 1973-1983 period, and increased afterwards. Gini coefficient rose from 0.286 in 1988 to 0.297 in 1998. This result challenges the general perception that inequality increased strongly during the transition period. Decomposition of Gini changes shows that the expansion of social transfers as well as absence of stronger rise in wage concentration account for only a mild increase in inequality.
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Paper provided by Institute of Public Finance in its series Occasional paper series with number
17.
Length: 18 pages Date of creation: Apr 2003 Date of revision: Publication status: published in the journal “Financijska teorija i praksa”, 26(3), 2002, pp. 595-615 Handle: RePEc:ipf:occasi:17
Find related papers by JEL classification: D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement O15 - Economic Development, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration P24 - Economic Systems - - Socialist Systems and Transition Economies - - - National Income, Product, and Expenditure; Money; Inflation
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