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Inequality and growth: inverted and uninverted U-shapes

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  • Juan Vicente
  • Luis Borge

Abstract

Inequality follows different patterns along a high-income sector enlargement growth. Even under Kuznets' basic assumptions inequality may show a convex shape at the end of the process. Moreover, when some of the basic assumptions are removed, the inequality path may be convex along the whole process or display a reversal from inverted to uninverted U-shapes along the same process. That is why empirical studies should specify which process and which phase within it they are dealing with on testing Kuznets' hypothesis.

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  • Juan Vicente & Luis Borge, 2000. "Inequality and growth: inverted and uninverted U-shapes," Applied Economics Letters, Taylor & Francis Journals, vol. 7(8), pages 497-500.
    • Handle: RePEc:taf:apeclt:v:7:y:2000:i:8:p:497-500
    DOI: 10.1080/13504850050033247
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    References listed on IDEAS

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    Cited by:

    1. Kimhi, Ayal, 2004. "Growth, Inequality and Labor Markets in LDCs: A Survey," Discussion Papers 289990, Hebrew University of Jerusalem, Department of Agricultural Economics and Management.

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