Global inequality recalculated: The effect of new 2005 PPP estimates on global inequality
AbstractThe results of new direct price level comparisons across 146 countries in 2005 have led to large revisions of PPP (purchasing power parity) exchanges rates, particularly for China and India. The recalculation of international and global inequalities, using the new PPPs, shows that inequalities are substantially higher than previously thought. Inequality between global citizens is estimated at 70 Gini points rather than 65 as before. The richest decile receives 57 percent of global income rather than 50 percent.
Download InfoIf 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.
Bibliographic InfoPaper provided by University Library of Munich, Germany in its series MPRA Paper with number 16538.
Date of creation: 30 Jul 2009
Date of revision:
Global inequality; Purchasing power parity;
Other versions of this item:
- Milanovic, Branko, 2009. "Global inequality recalculated : the effect of new 2005 PPP estimates on global inequality," Policy Research Working Paper Series 5061, The World Bank.
- D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
- I3 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty
- O57 - Economic Development, Technological Change, and Growth - - Economywide Country Studies - - - Comparative Studies of Countries
This paper has been announced in the following NEP Reports:
- NEP-ALL-2009-08-08 (All new papers)
- NEP-CWA-2009-08-08 (Central & Western Asia)
- NEP-IFN-2009-08-08 (International Finance)
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.:
- Lant Pritchett, 1997.
"Divergence, Big Time,"
Journal of Economic Perspectives,
American Economic Association, vol. 11(3), pages 3-17, Summer.
- Sanjay G. Reddy & Camelia Minoiu, 2005.
"Real Income Stagnation of Countries, 1960-2001,"
Development and Comp Systems
- Sudhir Anand & Paul Segal, 2008. "What Do We Know about Global Income Inequality?," Journal of Economic Literature, American Economic Association, vol. 46(1), pages 57-94, March.
- Milanovic, Branko, 2007. "An even higher global inequality than previously thought," MPRA Paper 6676, University Library of Munich, Germany.
- Angus Deaton, 2005.
"Measuring Poverty in a Growing World (or Measuring Growth in a Poor World),"
The Review of Economics and Statistics,
MIT Press, vol. 87(1), pages 1-19, February.
- Angus Deaton, 2004. "Measuring poverty in a growing world (or measuring growth in a poor world)," Working Papers 178, Princeton University, Woodrow Wilson School of Public and International Affairs, Research Program in Development Studies..
- Angus Deaton, 2003. "Measuring Poverty in a Growing World (or Measuring Growth in a Poor World)," NBER Working Papers 9822, National Bureau of Economic Research, Inc.
- Shaohua Chen & Martin Ravallion, 2010.
"The Developing World Is Poorer Than We Thought, but No Less Successful in the Fight Against Poverty,"
The Quarterly Journal of Economics,
MIT Press, vol. 125(4), pages 1577-1625, November.
- Chen, Shaohua & Ravallion, Martin, 2008. "The developing world is poorer than we thought, but no less successful in the fight against poverty," Policy Research Working Paper Series 4703, The World Bank.
- Vladimir Popov, 2010.
"Development theories and development experience: half a century journey,"
w0153, Center for Economic and Financial Research (CEFIR).
- Popov, Vladimir, 2010. "Development theories and development experience: half a century journey," MPRA Paper 28111, University Library of Munich, Germany.
- Cheung , Yin-Wong & Fujii, Eiji, 2011.
"Exchange rate misalignment estimates – Sources of differences,"
BOFIT Discussion Papers
25/2011, Bank of Finland, Institute for Economies in Transition.
- Yin-Wong Cheung & Eiji Fujii, 2011. "Exchange Rate Misalingment Estimates - Sources of Differences," CESifo Working Paper Series 3555, CESifo Group Munich.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Ekkehart Schlicht).
If references are entirely missing, you can add them using this form.