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Kuznets at 70: the enduring significance of a curve and a hypothesis

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Listed:
  • James K. Galbraith
  • Ravi Kanbur
  • Kunal Sen
  • Andy Sumner

Abstract

Seven decades ago, Simon Kuznets put forward the hypothesis that as economies developed, national inequality would first increase and then decrease—an inverted U-shape. He provided preliminary evidence for the hypothesis on the basis of the limited data available at the time, and theorized the genesis of the curve as arising from the twin forces of structural transformation of the economy and political economy pressures.

Suggested Citation

  • James K. Galbraith & Ravi Kanbur & Kunal Sen & Andy Sumner, 2025. "Kuznets at 70: the enduring significance of a curve and a hypothesis," WIDER Working Paper Series wp-2025-46, World Institute for Development Economic Research (UNU-WIDER).
    • Handle: RePEc:unu:wpaper:wp-2025-46
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    References listed on IDEAS

    as
    1. François Bourguignon, 2015. "The Globalization of Inequality," Economics Books, Princeton University Press, edition 1, number 10433.
    2. Kanbur, Ravi, 2017. "Structural Transformation and Income Distribution: Kuznets and Beyond," IZA Discussion Papers 10636, Institute of Labor Economics (IZA).
    3. İşcan, Talan B. & Lim, Kyoung Mook, 2022. "Structural transformation and inequality: The case of South Korea," Economic Modelling, Elsevier, vol. 107(C).
    4. Ravi Kanbur, 2017. "Working Paper 266 - Structural Transformation and Income Distribution: Kuznets and Beyond," Working Paper Series 2377, African Development Bank.
    5. Evgeniya Kolomak, 2020. "Urbanization and income inequality: Cause or solution?," Applied Econometrics, Russian Presidential Academy of National Economy and Public Administration (RANEPA), vol. 59, pages 55-70.
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