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The Impact of Redistributive Fiscal Policies on Inequality

In: Transformational Drivers of National Economies: A New Analytical Framework Addressing Transitional Growth Model

Author

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  • Ada Cristina Marinescu

    (Romanian Academy, National Institute for Economic Research, ‘Costin C. Kiriţescu’)

Abstract

The effectiveness of the welfare state depends mostly on the impact of redistributive fiscal policies on reducing income inequalities. Although social expenses have increased in eurozone countries, income inequalities and social disparities have accentuated. We intend to analyse in this paper the effect of social expenditure on the evolution of the Gini index, for the group of euro area countries. How should governments intervene to alleviate poverty and decrease income inequality? By investigating the relation between inequality and redistributive policies, we identify several patterns in the relation between fiscal redistribution and Gini coefficient. European governments should modify actual fiscal and social policies to reduce inequalities, which have increased following the pandemic crisis.

Suggested Citation

  • Ada Cristina Marinescu, 2026. "The Impact of Redistributive Fiscal Policies on Inequality," Springer Proceedings in Business and Economics, in: Luminita Chivu & Valeriu Ioan-Franc & George Georgescu & Ignacio De Los Ríos Carmenado & Jean-Vasile (ed.), Transformational Drivers of National Economies: A New Analytical Framework Addressing Transitional Growth Model, chapter 10, pages 189-196, Springer.
    • Handle: RePEc:spr:prbchp:978-3-032-18962-2_10
    DOI: 10.1007/978-3-032-18962-2_10
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