The Ricardian Vice: Why Sala-i-Martin’s calculations of world income inequality are wrong

This file is part of IDEAS, which uses RePEc data

The Ricardian Vice: Why Sala-i-Martin’s calculations of world income inequality are wrong

Author Info

Branko Milanovic (World Bank)

Additional information is available for the following registered author(s):

Branko Milanovic

Abstract

The paper discusses recent world income inequality calculations by Sala- i-Martin. It shows that the two main problems with which the author had to grapple (too few data to derive countries’ income distributions, and sparseness of such data in time) are not solved in a satisfactory fashion. They, and several other simplifying assumptions, make Sala-i- Martin results very dubious. We argue that Sala-i-Martin has ended up by producing a population-weighted inter-national distribution of income augmented by a constant shift parameter and not a distribution of income among world citizens.

Download Info
To download:

If you experience problems downloading a file, check if you have the proper application to view it first. Information about this may be contained in the File-Format links below. 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.

Publisher Info
Paper provided by EconWPA in its series HEW with number 0305003.

Download reference. The following formats are available: HTML (with abstract), plain text (with abstract), BibTeX, RIS (EndNote, RefMan, ProCite), ReDIF
Length:
Date of creation: 09 May 2003
Date of revision:
Handle: RePEc:wpa:wuwphe:0305003

Note: Type of Document - pdf; prepared on IBM PC - ; to print on HP;
Contact details of provider:
Web page: http://129.3.20.41

For technical questions regarding this item, or to correct its listing, contact: (EconWPA).

Other versions of this item:

Find related papers by JEL classification:
D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
I3 - Health, Education, and Welfare - - Welfare and Poverty

This paper has been announced in the following NEP Reports:

NEP-ALL-2003-05-15 (All new papers)
NEP-DEV-2003-05-15 (Development)

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.:

Sharun Mukand & Dani Rodrik, 2002. "In Search of the Holy Grail: Policy Convergence, Experimentation, and Economic Performance," NBER Working Papers 9134, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
Other versions:
- Mukand, Sharun W. & Rodrik, Dani, 2002. "In Search of the Holy Grail: Policy Convergence, Experimentation and Economic Performance," CEPR Discussion Papers 3525, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
- Mukand, Sharun & Rodrik, Dani, 2002. "In Search of the Holy Grail: Policy Convergence, Experimentation and Economic Performance," Working Paper Series rwp02-027, Harvard University, John F. Kennedy School of Government. [Downloadable!]
- Sharun W. Mukand & Dani Rodrik, 2005. "In Search of the Holy Grail: Policy Convergence, Experimentation, and Economic Performance," American Economic Review, American Economic Association, vol. 95(1), pages 374-383, March. [Downloadable!]
Chotikapanich, Duangkamon & Valenzuela, Rebecca & Rao, D S Prasada, 1997. "Global and Regional Inequality in the Distribution of Income: Estimation with Limited and Incomplete Data," Empirical Economics, Springer, vol. 22(4), pages 533-46.
Quah, Danny T, 1997. " Empirics for Growth and Distribution: Stratification, Polarization, and Convergence Clubs," Journal of Economic Growth, Springer, vol. 2(1), pages 27-59, March. [Downloadable!] (restricted)
Branko Milanovic, 2002. "True World Income Distribution, 1988 and 1993: First Calculation Based on Household Surveys Alone," Economic Journal, Royal Economic Society, vol. 112(476), pages 51-92, January. [Downloadable!] (restricted)
Other versions:
- Milanovic, Branko, 1999. "True world income distribution, 1988 and 1993 - first calculations, based on household surveys alone," Policy Research Working Paper Series 2244, The World Bank. [Downloadable!]
- Branko milanovic, 2003. "True world income distribution, 1988 and 1993: First calculation based on household surveys alo," HEW 0305002, EconWPA. [Downloadable!]
T. Paul Schultz, 1998. "Inequality in the Distribution of Personal Income in the World: How it is Changing and Why," Working Papers 784, Economic Growth Center, Yale University.
Other versions:
- Schultz, T.P., 1998. "Inequality in the Distribution of Personal Income in the World: How It Is Changing and Why," Papers 784, Yale - Economic Growth Center.
- T. Paul Schultz, 1998. "Inequality in the distribution of personal income in the world: How it is changing and why," Journal of Population Economics, Springer, vol. 11(3), pages 307-344. [Downloadable!] (restricted)
Quah, Danny, 1997. "Empirics for Growth and Distribution: Stratification, Polarization, and Convergence Clubs," CEPR Discussion Papers 1586, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
Quah, Danny, 2002. "One Third of the World's Growth and Inequality," Working Papers UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER). [Downloadable!]
Danny Quah, 2002. "One Third of the Worlds Growth and Inequality," CEP Discussion Papers dp0535, Centre for Economic Performance, LSE. [Downloadable!]
Steve Dowrick & Muhammad Akmal, 2005. "CONTRADICTORY TRENDS IN GLOBAL INCOME INEQUALITY: A TALE OF TWO BIASES ," Review of Income and Wealth, Blackwell Publishing, vol. 51(2), pages 201-229, 06. [Downloadable!] (restricted)
Quah, Danny, 2002. "One Third of the World's Growth and Inequality," CEPR Discussion Papers 3316, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)

Full references

Cited by:
(explanations, 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.)

Zhang, Yin & Wan, Guanghua, 2006. "Globalization and the Urban Poor in China," Working Papers RP2006/42, World Institute for Development Economic Research (UNU-WIDER). [Downloadable!]
Other versions:
- Yin Zhang & Guanghua Wan, 2006. "Globalization and the Urban Poor in China," Discussion Papers 196, University of Dundee, Economic Studies. [Downloadable!]
Duangkamon Chotikapanich & William E. Griffiths & D.S. Prasada Rao, 2005. "Estimating and Combining National Income Distributions using Limited Data," Department of Economics - Working Papers Series 926, The University of Melbourne. [Downloadable!]
Other versions:
- D.S. Prasada Rao & Duangkamon Chotikapanich & William E. Griffiths, 2004. "Estimating and Combining National Income Distributions using Limited Data," Econometric Society 2004 Australasian Meetings 213, Econometric Society. [Downloadable!]
- Chotikapanich, Duangkamon & Griffiths, William E. & Rao, D. S. Prasada, 2007. "Estimating and Combining National Income Distributions Using Limited Data," Journal of Business & Economic Statistics, American Statistical Association, vol. 25, pages 97-109, January. [Downloadable!] (restricted)
Branko Milanovic & Lyn Squire, 2005. "Does Tariff Liberalization Increase Wage Inequality? Some Empirical Evidence," NBER Working Papers 11046, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
Other versions:
- Branko Milanovic & Lyn Squire, 2005. "Does tariff liberalization increase wage inequality? Some empirical evidence," Labor and Demography 0501012, EconWPA. [Downloadable!]
- Branko Milanovic & Lyn Squire, 2005. "Does tariff liberalization increase wage inequality? Some empirical evidence," International Trade 0502012, EconWPA. [Downloadable!]
- Milanovic, Branko & Squire, Lyn, 2005. "Does tariff liberalization increase wage inequality ? - Some empirical evidence," Policy Research Working Paper Series 3571, The World Bank. [Downloadable!]
- Branko Milanovic & Lyn Squire, 2007. "Does Tariff Liberalization Increase Wage Inequality? Some Empirical Evidence," NBER Chapters, in: Globalization and Poverty, pages 143-182 National Bureau of Economic Research, Inc. [Downloadable!]
Branko Milanovic, 2005. "Global Income Inequality: What It Is And Why It Matters?," HEW 0512001, EconWPA. [Downloadable!]
Other versions:
- Milanovic, Branko, 2006. "Global income inequality : what it is and why it matters," Policy Research Working Paper Series 3865, The World Bank. [Downloadable!]
- Branko Milanovic, 2006. "Global Income Inequality: What It Is And Why It Matters?," Working Papers 26, United Nations, Department of Economics and Social Affairs. [Downloadable!]

Statistics

Access and download statistics

Did you know? IDEAS also indexes book chapters.

This page was last updated on 2009-11-19.

This information is provided to you by IDEAS at the Department of Economics, College of Liberal Arts and Sciences, University of Connecticut using RePEc data on a server sponsored by the Society for Economic Dynamics.