Open AccessPosted Content
Inequality and Economic Growth: The Perspective of the New Growth Theories
Reads0
Chats0
TLDR
This paper analyzed the relationship between inequality and economic growth from two directions, showing that when capital markets are imperfect, there is not necessarily a trade-off between equity and efficiency, and provided an explanation for two recent empirical findings, namely, the negative impact of inequality and the positive effect of redistribution upon growth.Abstract:
We analyze the relationship between inequality and economic growth from two directions. The first part of the survey examines the effect of inequality on growth, showing that when capital markets are imperfect, there is not necessarily a trade-off between equity and efficiency. It therefore provides an explanation for two recent empirical findings, namely, the negative impact of inequality and the positive effect of redistribution upon growth. The second part analyzes several mechanisms whereby growth may increase wage inequality, both across and within education cohorts. Technical change, and in particular the implementation of "General Purpose Technologies," stands as a crucial factor in explaining the recent upsurge in wage inequality.read more
Citations
More filters
Journal ArticleDOI
'Global health': meaning what?
TL;DR: ‘Global health’ is emerging as an increasingly widely invoked and powerful discursive construct, but the precise dimensions of the idea remain unclear and an emergent global health paradigm should be characterised by potentially fierce contest.
Journal ArticleDOI
Why Income Inequality Is Dissatisfying—Perceptions of Social Status and the Inequality-Satisfaction Link in Europe
Posted Content
From income to endowments : the difficult task of expanding the income poverty paradigm
Abstract: Conceptual limitations appeared very early in the development of what may be called in economics the "income poverty (or inequality) paradigm". They were mostly concerned with the definition of poverty and the use of income or expenditure scalars as an exclusive basis for measuring it. Since then the income poverty paradigm developed considerably and has reached today a high level of sophistication and operationality. Things were not as rapid with the concepts that were proposed as alternatives to income poverty. Progresses over the last years have been effective, though, and they are well illustrated by the considerable broadening of the perspective adopted almost everywhere today in defining and analyzing poverty and inequality. Yet, challenges remain quite serious if the objective is to reach a degree of operationality comparable to that enjoyed by the income poverty paradigm. This chapter reviews those challenges emphasizing the progresses made and the tasks remaining ahead.
Journal ArticleDOI
Does economic globalisation affect income inequality? A meta-analysis
TL;DR: In this paper, the authors present a quantitative summary and analysis of existing estimates regarding the globalisation-inequality relationship, using a new data set consisting of 1,254 observations from 123 primary studies.
Posted Content
Social Network Capital, Economic Mobility and Poverty Traps
TL;DR: In this paper, the authors explore the role of social network capital in facilitating poor agents' escape from poverty traps and show that it can serve as either a complement to or a substitute for productive assets.
References
More filters
Report SeriesDOI
Initial conditions and moment restrictions in dynamic panel data models
Richard Blundell,Stephen Bond +1 more
TL;DR: In this paper, two alternative linear estimators that are designed to improve the properties of the standard first-differenced GMM estimator are presented. But both estimators require restrictions on the initial conditions process.
The mechanics of economic development
Abstract: This paper considers the prospects for constructing a neoclassical theory of growth and international trade that is consistent with some of the main features of economic development. Three models are considered and compared to evidence: a model emphasizing physical capital accumulation and technological change, a model emphasizing human capital accumulation through schooling, and a model emphasizing specialized human capital accumulation through learning-by-doing.
Journal ArticleDOI
Legal Determinants of External Finance
TL;DR: The authors showed that countries with poorer investor protections, measured by both the character of legal rules and the quality of law enforcement, have smaller and narrower capital markets than those with stronger investor protections.
Journal ArticleDOI
An Exploration in the Theory of Optimum Income Taxation
TL;DR: In this paper, the authors make the following simplifying assumptions: (1) Intertemporal problems are ignored; (2) the tax system that would bring about that result would completely discourage unpleasant work; and (3) what such a tax schedule would look like; and what degree of inequality would remain once it was established.
Journal ArticleDOI
Income Distribution and Macroeconomics
Oded Galor,Joseph Zeira +1 more
TL;DR: The authors analyzes the role of wealth distribution in macroeconomics through investment in human capital and shows that the initial distribution of wealth affects aggregate output and investment both in the short and in the long run, as there are multiple steady states.
Related Papers (5)
Ability Biased Technological Transition, Wage Inequality, and Economic Growth
Oded Galor,Omer Moav +1 more