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The evolution of world inequality in well-being

  • DECANCK, Koen
  • DECOSTER, André
  • SCHOOKAERT, Erik

Summary In this paper, we use the tools offered by the recent literature on multidimensional inequality measurement to investigate the evolution of the inequality in well-being across different countries during 1975-2000. We focus on three important dimensions of life: standard of living, health, and education. Inequality in the three dimensions shows a different trend during 1975-2000. We propose a flexible measure of well-being to quantify the evolution of overall intercountry well-being inequality. The empirical results are sensitive to different normative choices on the trade-offs between the different dimensions. Especially the concave transformation of income turns out to be decisive for the evolution of world inequality in well-being.

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File URL: http://dx.doi.org/10.1016/j.worlddev.2007.12.006
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Paper provided by Université catholique de Louvain, Center for Operations Research and Econometrics (CORE) in its series CORE Discussion Papers RP with number 2140.

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Handle: RePEc:cor:louvrp:2140
Note: In : World Development, 37(1), 11-25, 2009
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