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Measuring lnequality in the Middle East 1990–2016: The World’s Most Unequal Region?

Author

Listed:
  • Facundo Alvaredo

    (PSE - Paris School of Economics - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris Sciences et Lettres - EHESS - École des hautes études en sciences sociales - ENPC - École nationale des ponts et chaussées - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement, PJSE - Paris Jourdan Sciences Economiques - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris Sciences et Lettres - INRA - Institut National de la Recherche Agronomique - EHESS - École des hautes études en sciences sociales - ENPC - École nationale des ponts et chaussées - CNRS - Centre National de la Recherche Scientifique)

  • Lydia Assouad

    (PSE - Paris School of Economics - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris Sciences et Lettres - EHESS - École des hautes études en sciences sociales - ENPC - École nationale des ponts et chaussées - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement, PJSE - Paris Jourdan Sciences Economiques - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris Sciences et Lettres - INRA - Institut National de la Recherche Agronomique - EHESS - École des hautes études en sciences sociales - ENPC - École nationale des ponts et chaussées - CNRS - Centre National de la Recherche Scientifique)

  • Thomas Piketty

    (PSE - Paris School of Economics - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris Sciences et Lettres - EHESS - École des hautes études en sciences sociales - ENPC - École nationale des ponts et chaussées - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement, PJSE - Paris Jourdan Sciences Economiques - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris Sciences et Lettres - INRA - Institut National de la Recherche Agronomique - EHESS - École des hautes études en sciences sociales - ENPC - École nationale des ponts et chaussées - CNRS - Centre National de la Recherche Scientifique)

Abstract

In this paper we combine household surveys, national accounts, income tax data and wealth data in order to estimate income concentration in the Middle East for the period 1990–2016. According to our benchmark series, the Middle East appears to be the most unequal region in the world, with a top decile income share as large as 64 percent, compared to 37 percent in Western Europe, 47 percent in the US and 55 percent in Brazil (see Alvaredo et al. 2018). This is due both to enormous inequality between countries (particularly between oil‐rich and population‐rich countries) and to large inequality within countries (which we probably under‐estimate, given the limited access to proper fiscal data). We stress the importance of increasing transparency on income and wealth in the Middle East, as well as the need to develop mechanisms of regional redistribution and investment.

Suggested Citation

  • Facundo Alvaredo & Lydia Assouad & Thomas Piketty, 2019. "Measuring lnequality in the Middle East 1990–2016: The World’s Most Unequal Region?," Post-Print halshs-02489061, HAL.
    • Handle: RePEc:hal:journl:halshs-02489061
    DOI: 10.1111/roiw.12385
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    1. Facundo Alvaredo & Lydia Assouad & Thomas Piketty, 2019. "Measuring lnequality in the Middle East 1990–2016: The World’s Most Unequal Region?," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 65(4), pages 685-711, December.
    2. Joshan, Saeid & Maertens, Sven, 2020. "Low cost carriers in the Middle East and North Africa (MENA) region: Emergence and barriers to development," Journal of Transport Geography, Elsevier, vol. 87(C).
    3. Hertog, Steffen, 2019. "What would the Saudi economy have to look like to be 'post rentier'?," LSE Research Online Documents on Economics 101386, London School of Economics and Political Science, LSE Library.
    4. Adam Hanieh & Rafeef Ziadah, 2022. "Pandemic Effects: COVID‐19 and the Crisis of Development in the Middle East," Development and Change, International Institute of Social Studies, vol. 53(6), pages 1308-1334, November.
    5. Ferreira, Francisco H. G. & Brunori, Paolo, 2024. "Inherited inequality, meritocracy, and the purpose of economic growth," LSE Research Online Documents on Economics 126263, London School of Economics and Political Science, LSE Library.
    6. Assouad, Lydia, 2023. "Rethinking the Lebanese economic miracle: the extreme concentration of income and wealth in Lebanon, 2005–2014," LSE Research Online Documents on Economics 117680, London School of Economics and Political Science, LSE Library.
    7. Adham Sayed, 2020. "Income Inequality and Public Debt: What Can Be Learned from the Lebanese Indebtedness?," Business and Economic Research, Macrothink Institute, vol. 10(4), pages 83-106, December.
    8. Pawel Bukowski & Filip Novokmet, 2018. "Inequality in Poland: Estimating the whole distribution by g-percentile 1983-2015," LIS Working papers 731, LIS Cross-National Data Center in Luxembourg.
    9. Nora Lustig, 2019. "The “Missing Rich” in Household Surveys: Causes and Correction Approaches," Commitment to Equity (CEQ) Working Paper Series 75, Tulane University, Department of Economics.
    10. Carolina Bloch, 2019. "Fiscal space for child-sensitive social protection in the MENA region," One Pager 427, International Policy Centre.
    11. Govind, Yajna, 2025. "Post-colonial trends of income inequality: Evidence from the overseas departments of France," World Development, Elsevier, vol. 194(C).
    12. Piketty, Thomas & Bozio, Antoine & Garbinti, Bertrand & Goupille-Lebret, Jonathan & Guillot, Malka, 2020. "Predistribution vs. Redistribution: Evidence from France and the U.S," CEPR Discussion Papers 15415, C.E.P.R. Discussion Papers.
    13. Vladimir Hlasny & Paolo Verme, 2018. "Top Incomes and Inequality Measurement: A Comparative Analysis of Correction Methods Using the EU SILC Data," Econometrics, MDPI, vol. 6(2), pages 1-21, June.
    14. Teng, Wei & Mamman, Suieiman O. & Xiao, Chengyou & Abbas, Shujaat, 2024. "Impact of natural resources on income equality in Gulf Cooperation Council: Evidence from machine learning approach," Resources Policy, Elsevier, vol. 88(C).
    15. Mohammad Abu‐Zaineh & Ramses H. Abul Naga, 2023. "Bread and Social Justice: Measurement of Social Welfare and Inequality Using Anthropometrics," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 69(2), pages 265-288, June.

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