Explaining International and Intertemporal Variations in Income Inequality
This paper explores the propositions that income inequality is relatively stable within countries and that it varies significantly among countries. A new and expanded data set provides broad support for both propositions. Drawing on political economy and capital market imperfection arguments to explain the intertemporal and international variation in inequality, the empirical analysis shows that the predicted variables associated with the first argument (a measure of civil liberties and the initial level of secondary schooling) and the second argument (a measure of financial depth and the initial distribution of land) are indeed important determinants of inequality.
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Volume (Year): 108 (1998)
Issue (Month): 446 (January)
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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.:
- Persson, T. & Tabellini, G., 1993.
"Is Inequality Harmful for Growth,"
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51644, University Library of Munich, Germany, revised 01 Sep 1989.
- Abhijit V. Banerjee & Andrew F. Newman, 1991. "Risk-Bearing and the Theory of Income Distribution," Review of Economic Studies, Oxford University Press, vol. 58(2), pages 211-235.
- Datt, Gaurav, 1998. "Computational tools for poverty measurement and analysis," FCND discussion papers 50, International Food Policy Research Institute (IFPRI).
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1064, The World Bank.
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