Factors Influencing Income Inequality In Transition Economies
A sharp rise of income inequality in the transition countries has caused a wide-ranging discussion about the factors affecting inequality. The present paper investigates a number of factors that influence income inequality in the transition countries. The main contribution of the study lies in its different approach to analysing these factors. While previous studies have either mainly focussed on single factors of inequality or have used regression analysis involving but a few factors, the author of the present paper uses principal component analysis in order to analyse as many different indicators as possible and at the same time avoid the problem of possible multicollinearity. As a result, four components are formed from the initial indicators. The impact of these components on income inequality and the component scores are then analysed.
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- Eicher, Theo S. & Garcia-Penalosa, Cecilia, 2001.
"Inequality and growth: the dual role of human capital in development,"
Journal of Development Economics,
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- Eicher, T. & Garcia-Penalosa, C., 1999. "Inequality and Growth: the Dual Role of Human Capital in Development," G.R.E.Q.A.M. 99a47, Universite Aix-Marseille III.
- Theo Eicher & Cecilia Garcia-Penalosa, 2000. "Inequality and Growth: The Dual Role of Human Capital in Development," Econometric Society World Congress 2000 Contributed Papers 1920, Econometric Society.
- Theo Eicher, 2000. "Inequality and Growth: The Dual Role of Human Capital in Development," CESifo Working Paper Series 355, CESifo Group Munich.
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- Caminada, Koen & Goudswaard, Kees, 2001. "International trends in income inequality and social policy," MPRA Paper 20181, University Library of Munich, Germany.
- Dennis J. Snower, 1998. "Causes of changing earnings inequality," Proceedings - Economic Policy Symposium - Jackson Hole, Federal Reserve Bank of Kansas City, pages 69-133.
- Snower, Dennis J., 1999. "Causes of Changing Earnings Inequality," IZA Discussion Papers 29, Institute for the Study of Labor (IZA).
- Cornia, Giovanni Andrea & Kiiski, Sampsa, 2001. "Trends in Income Distribution in the Post-World War II Period Evidence and Interpretation," WIDER Working Paper Series 089, World Institute for Development Economic Research (UNU-WIDER).
- J Benson Durham, 1999. "Econometrics of Income Distribution: Toward More Comprehensive Specification of Institutional Correlates," Comparative Economic Studies, Palgrave Macmillan;Association for Comparative Economic Studies, vol. 41(1), pages 43-74, April. Full references (including those not matched with items on IDEAS)
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