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True world income distribution, 1988 and 1993 - first calculations, based on household surveys alone

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  • Milanovic, Branko

Abstract

The author derives the distribution of individuals'income or expenditures for two years, 1988 and 1993. His is the first paper to calculate world distribution for individuals based entirely on data from household surveys. The data, from 91 countries, are adjusted for differences in purchasing power parity between the countries. Measured by the Gini Index, inequality increased from an already high 63 in 1988 to 66 in 1993. This increase was driven more by rising differences in mean incomes between countries than by rising inequalities within countries. Contributing most to the inequality were rising urban-rural differences in China and the slower growth of rural purchasing-power-adjusted incomes in South Asia than in several large developed market economies.

Suggested Citation

  • Milanovic, Branko, 1999. "True world income distribution, 1988 and 1993 - first calculations, based on household surveys alone," Policy Research Working Paper Series 2244, The World Bank.
  • Handle: RePEc:wbk:wbrwps:2244
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    More about this item

    Keywords

    Environmental Economics&Policies; Poverty Impact Evaluation; Poverty Monitoring&Analysis; Economic Theory&Research; Services&Transfers to Poor; Poverty Impact Evaluation; Inequality; Economic Theory&Research; Poverty Monitoring&Analysis; Environmental Economics&Policies;
    All these keywords.

    JEL classification:

    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • I3 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty
    • O57 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Comparative Studies of Countries

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