Globalization and Economic Inequality in the Short and Long Run: The Case of South Korea 1975-1995
AbstractWe have analyzed the determinants of the Gini coefficient for income and expenditure. In both cases, we do not find support for the Kuznets inverted-U hypothesis. From economic globalization viewpoint, the opening of goods markets reduces income inequality both in the short run (the Gini coefficient for income) and in the long run (the Gini coefficient for expenditure). On the other hand, the opening of capital markets increases income inequality both in the short and long run, but the latter is not statistically significant. These results suggest that the effect of economic globalization has two routes and two different speeds to affect income inequality.
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Bibliographic InfoPaper provided by Osaka University, Graduate School of Economics and Osaka School of International Public Policy (OSIPP) in its series Discussion Papers in Economics and Business with number 07-43.
Length: 17 pages
Date of creation: Nov 2007
Date of revision:
Globalization; Economic inequality; Gini coefficient; South Korea;
Other versions of this item:
- Sato, Sumie & Fukushige, Mototsugu, 2009. "Globalization and economic inequality in the short and long run: The case of South Korea 1975-1995," Journal of Asian Economics, Elsevier, vol. 20(1), pages 62-68, January.
- R2 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis
- D30 - Microeconomics - - Distribution - - - General
- F43 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Economic Growth of Open Economies
This paper has been announced in the following NEP Reports:
- NEP-ALL-2007-11-17 (All new papers)
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