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Fair and unfair income inequalities in Europe

Author

Listed:
  • Daniele Checchi

    (University of Milan)

  • Vito Peragine

    () (University of Bari)

  • Laura Serlenga

    (University of Bari)

Abstract

This paper analyses the extent of income inequality and opportunity inequality in 25 European countries. The present work contributes to understanding the origin of standard income inequality, helping to identify potential institutional setups that are associated to opportunity inequality. We distinguish between ex-ante and ex-post opportunity inequality. We find that ex-ante equality of opportunity exhibits positive correlation with public expenditure in education, whereas ex-post equality of opportunity is also positively associated to union presence and to fiscal redistribution.

Suggested Citation

  • Daniele Checchi & Vito Peragine & Laura Serlenga, 2010. "Fair and unfair income inequalities in Europe," Working Papers 174, ECINEQ, Society for the Study of Economic Inequality.
  • Handle: RePEc:inq:inqwps:ecineq2010-174
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    File URL: http://www.ecineq.org/milano/WP/ECINEQ2010-174.pdf
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    References listed on IDEAS

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    Cited by:

    1. Judith Niehues & Andreas Peichl, 2014. "Upper bounds of inequality of opportunity: theory and evidence for Germany and the US," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 43(1), pages 73-99, June.
    2. Judith Niehues & Andreas Peichl, 2011. "Lower and Upper Bounds of Unfair Inequality: Theory and Evidence for Germany and the US," SOEPpapers on Multidisciplinary Panel Data Research 395, DIW Berlin, The German Socio-Economic Panel (SOEP).
    3. Francisco H. G. Ferreira & Vito Peragine, 2015. "Equality of opportunity: Theory and evidence," Working Papers 359, ECINEQ, Society for the Study of Economic Inequality.
    4. Figueirêdo, Erik Alencar de & Nogueira, Lauro César Bezerra & Santana, Fernanda Leite, 2014. "Igualdade de Oportunidades: Analisando o papel das circunstâncias no desempenho do ENEM," Revista Brasileira de Economia - RBE, FGV/EPGE - Escola Brasileira de Economia e Finanças, Getulio Vargas Foundation (Brazil), vol. 68(3), September.
    5. Brunori, Paolo & Ferreira, Francisco H. G. & Peragine, Vito, 2013. "Inequality of opportunity, income inequality and economic mobility : some international comparisons," Policy Research Working Paper Series 6304, The World Bank.
    6. repec:spr:sochwe:v:49:y:2017:i:3:d:10.1007_s00355-017-1044-x is not listed on IDEAS
    7. Luis Fernando Gamboa & Fábio D. Waltenberg, 2011. "Inequality of opportunity in educational achievement in Latin America: evidence from PISA 2006-2009," DOCUMENTOS DE TRABAJO 008895, UNIVERSIDAD DEL ROSARIO.
    8. Michal Brzezinski, 2015. "Inequality of opportunity in Europe before and after the Great Recession," Working Papers 353, ECINEQ, Society for the Study of Economic Inequality.
    9. Jean-François Carpantier & Christelle Sapata, 2013. "An Ex-Post View of Inequality of Opportunity in France and its Regions," Journal of Labor Research, Springer, vol. 34(3), pages 281-311, September.
    10. Aitor Calo-Blanco & J. García-Pérez, 2014. "On the welfare loss caused by inequality of opportunity," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 12(2), pages 221-237, June.
    11. Ronald Bachmann & Peggy Bechara & Sandra Schaffner, 2012. "Wage Inequality and Wage Mobility in Europe," Ruhr Economic Papers 0386, Rheinisch-Westfälisches Institut für Wirtschaftsforschung, Ruhr-Universität Bochum, Universität Dortmund, Universität Duisburg-Essen.
    12. Ronald Bachmann & Peggy Bechara & Sandra Schaffner, 2016. "Wage Inequality and Wage Mobility in Europe," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 62(1), pages 181-197, March.
    13. Singh, Ashish, 2010. "Inequality of opportunity in India," MPRA Paper 32971, University Library of Munich, Germany.
    14. Judith Niehues & Andreas Peichl, 2012. "Bounds of Unfair Inequality of Opportunity: Theory and Evidence for Germany and the US," CESifo Working Paper Series 3815, CESifo Group Munich.
    15. repec:zbw:rwirep:0386 is not listed on IDEAS
    16. repec:fgv:epgrbe:v:68:n:3:a:5 is not listed on IDEAS
    17. Giuseppina Malerba & Marta Spreafico, 2013. "Income inequality in the European Union: evidence from a panel analysis," DISCE - Quaderni dell'Istituto di Politica Economica ispe0065, Università Cattolica del Sacro Cuore, Dipartimenti e Istituti di Scienze Economiche (DISCE).
    18. repec:eee:ehbiol:v:26:y:2017:i:c:p:70-85 is not listed on IDEAS
    19. Paul Hufe & Andreas Peichl & John Roemer & Martin Ungerer, 2017. "Inequality of income acquisition: the role of childhood circumstances," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 49(3), pages 499-544, December.
    20. CARPANTIER, Jean-François & SAPATA, Christelle, 2012. "Unfair inequalities in France: A regional comparison," CORE Discussion Papers 2012038, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
    21. Ashish Singh, 2011. "Gender based intra-household inequality of opportunity in academic skills among Indian children," Economics Bulletin, AccessEcon, vol. 31(3), pages 2333-2346.
    22. Vito Peragine, 2011. "Review of “Measuring inequality of opportunities in Latin America and the Caribbean” by Ricardo Paes de Barros, Francisco H. G. Ferreira, José R. Molinas Vega, and Jaime Saavedra Chanduvi , World Bank," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 9(1), pages 137-143, March.
    23. Gamboa, Luis Fernando & Waltenberg, Fábio D., 2012. "Inequality of opportunity for educational achievement in Latin America: Evidence from PISA 2006–2009," Economics of Education Review, Elsevier, vol. 31(5), pages 694-708.
    24. Niehues, J. (Judith) & Andreas Peichl, 2012. "GINI DP 34: Bounds of Unfair Inequality of Opportunity: Theory and Evidence for Germany and the US," GINI Discussion Papers 34, AIAS, Amsterdam Institute for Advanced Labour Studies.

    More about this item

    Keywords

    Inequality of opportunity; income inequality.;

    JEL classification:

    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • J62 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Job, Occupational and Intergenerational Mobility; Promotion

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