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A Kuznets Approach to Analysing the Potential Impact of the COVID-19 Pandemic on Global Inequality

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  • Loek Groot
  • Chintani Sooriyamudali

Abstract

This paper estimates the global Kuznets curve (2005-2020) by plotting global mean income against global inequality, while exploring COVID-19's impact on inequality. Using PPP adjusted GDP per capita and Gini index data from 122 countries (94% global GDP, 88% population), global income is simulated assuming lognormality. The paper finds that, at the pandemic outbreak, the world was on the downward part of the Kuznets curve. Compared to within-country inequality, between country inequality contributes significantly to global inequality. While the pandemic may temporarily decelerate the decline of global inequality, the long-term impact will be determined by the level of international cooperation in the global response to the pandemic.

Suggested Citation

  • Loek Groot & Chintani Sooriyamudali, 2025. "A Kuznets Approach to Analysing the Potential Impact of the COVID-19 Pandemic on Global Inequality," Global Economic Review, Taylor & Francis Journals, vol. 54(1), pages 2-20, January.
    • Handle: RePEc:taf:glecrv:v:54:y:2025:i:1:p:2-20
    DOI: 10.1080/1226508X.2025.2487968
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