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The Global Distribution of Income

Listed author(s):
  • Sudhir Anand
  • Paul Segal

This paper investigates recent advances in our understanding of the global distribution of income, and produces the first estimates of global inequality that take into account data on the incomes of the top one percent within countries. We discuss conceptual and methodological issues - including alternative definitions of the global distribution, the use of household surveys and national accounts data, the use of purchasing power parity exchange rates, and the incorporation of recently available data on top incomes from income tax records. We also review recent attempts to estimate the global distribution of income. Our own estimates combine household survey data with top income data, and we analyze various aspects of this disribution, including its within- and between-country components, and changes in relative versus absolute global inequality. Finally, we examine global poverty, which is identified through the lower end of the global distribution.This paper appears in (Eds.) A. B. Atkinson and F. Bourguignon, Handbook of Income Distribution, Volume 2A, Elsevier, Amsterdam, 2015.

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File URL: http://www.economics.ox.ac.uk/materials/papers/13376/anand-segal-handbook-pdf-mar15.pdf
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Paper provided by University of Oxford, Department of Economics in its series Economics Series Working Papers with number 714.

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Date of creation: 18 Jul 2014
Handle: RePEc:oxf:wpaper:714
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  6. Chotikapanich, Duangkamon & Valenzuela, Rebecca & Rao, D S Prasada, 1997. "Global and Regional Inequality in the Distribution of Income: Estimation with Limited and Incomplete Data," Empirical Economics, Springer, vol. 22(4), pages 533-546.
  7. Ingvild Almas, 2012. "International Income Inequality: Measuring PPP Bias by Estimating Engel Curves for Food," American Economic Review, American Economic Association, vol. 102(2), pages 1093-1117, April.
  8. Chen, Shaohua & Ravallion, Martin, 2001. "How Did the World's Poorest Fare in the 1990s?," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 47(3), pages 283-300, September.
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  10. François Bourguignon & Christian Morrisson, 2002. "Inequality Among World Citizens: 1820-1992," American Economic Review, American Economic Association, vol. 92(4), pages 727-744, September.
  11. Sudhir Anand & Amartya Sen, 2000. "The Income Component of the Human Development Index," Journal of Human Development and Capabilities, Taylor & Francis Journals, vol. 1(1), pages 83-106.
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  13. Christoph Lakner & Branko Milanovic, 2016. "Global Income Distribution: From the Fall of the Berlin Wall to the Great Recession," World Bank Economic Review, World Bank Group, vol. 30(2), pages 203-232.
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  15. Morten Jerven, 2013. "Comparability of GDP estimates in Sub-Saharan Africa: The effect of Revisions in Sources and Methods Since Structural Adjustment," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 59, pages 16-36, October.
  16. Sumner, Andy, 2012. "Where Do The Poor Live?," World Development, Elsevier, vol. 40(5), pages 865-877.
  17. Ravallion, Martin, 2004. "Competing concepts of inequality in the globalization debate," Policy Research Working Paper Series 3243, The World Bank.
  18. Kenneth Harttgen & Stephan Klasen & Sebastian Vollmer, 2013. "An African Growth Miracle? Or: What do Asset Indices Tell Us About Trends in Economic Performance?," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 59, pages 37-61, October.
  19. Kristof BOSMANS & Koen DECANCQ & André DECOSTER, 2011. "The evolution of global inequality: absolute, relative and intermediate views," Working Papers Department of Economics ces11.03, KU Leuven, Faculty of Economics and Business, Department of Economics.
  20. Angus Deaton & Olivier Dupriez, 2011. "Purchasing Power Parity Exchange Rates for the Global Poor," American Economic Journal: Applied Economics, American Economic Association, vol. 3(2), pages 137-166, April.
  21. Francois Bourguignon & Victoria Levin & David Rosenblatt, 2004. "Declining International Inequality and Economic Divergence: Reviewing the Evidence Through Different Lenses," Economie Internationale, CEPII research center, issue 100, pages 13-26.
  22. Angus Deaton & Alan Heston, 2010. "Understanding PPPs and PPP-Based National Accounts," American Economic Journal: Macroeconomics, American Economic Association, vol. 2(4), pages 1-35, October.
  23. Sen, Amartya, 1973. "On Economic Inequality," OUP Catalogue, Oxford University Press, number 9780198281931.
  24. Sudhir Anand & Paul Segal, 2008. "What Do We Know about Global Income Inequality?," Journal of Economic Literature, American Economic Association, vol. 46(1), pages 57-94, March.
  25. Anand, Sudhir & Kanbur, S. M. R., 1993. "Inequality and development A critique," Journal of Development Economics, Elsevier, vol. 41(1), pages 19-43, June.
  26. Atkinson, A.B. & Brandolini, A., 2000. "Promise and Pitfalls in the Use of 'Secondary' Data -Sets: Income Inequality in OECD Countries," Papers 379, Banca Italia - Servizio di Studi.
  27. Segal, Paul, 2011. "Resource Rents, Redistribution, and Halving Global Poverty: The Resource Dividend," World Development, Elsevier, vol. 39(4), pages 475-489, April.
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  31. Steve Dowrick & Muhammad Akmal, 2005. "Contradictory Trends In Global Income Inequality: A Tale Of Two Biases," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 51(2), pages 201-229, 06.
  32. Atkinson, A. B. & Piketty, Thomas (ed.), 2007. "Top Incomes Over the Twentieth Century: A Contrast Between Continental European and English-Speaking Countries," OUP Catalogue, Oxford University Press, number 9780199286881.
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