Inequality and growth: From micro theory to macro empirics
(2007) Scottish Journal of Political Economy — Vol. 54, n° 4, p. 508-530 (2007)
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- Abstract
- We show that the way individual income data should be aggregated into an index of inequality in order to explain countries' growth performance is theory specific. A simulation set-up shows that the use of a wrong measure might obscure the inequality-growth relationship and that the relative performance of different measures of inequality can be informative about the channel through which inequality influences economic growth.
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Citations
Gobbin, N., Rayp, G., & van de Gaer, D. (2007). Inequality and growth: From micro theory to macro empirics. Scottish Journal of Political Economy, 54(4), 508-530. https://doi.org/10.1111/j.1467-9485.2007.00427.x (Original work published 2007)