The relationship between inequality and redistribution is usually studied under the assumption that the government … expenditure). We study the effects of inequality on the size (and structure) of redistributive programs in both perfectly … case and that in the latter case an increase in inequality can be associated with a fall in the tax rate. We find also that …

Within a model where the parents make the decisions relating to their children’s education, we show that skill dynamics … normally results in a sub-optimal situation involving income per capita. This derives from an under-education trap that is … redistribution policy makes it possible to increase output per capita and to reduce inequality because both increase the educated …

This paper documents patterns and recent developments on income inequality in Latin America (LA). New comparative … international evidence confirms that LA is a region of high inequality, although maybe not the highest in the world. Income … inequality has fallen in the 2000s, suggesting a turning point from the substantial increases of the 1980s and 1990s. The fall in …

disparities. Comparing polarization and inequality, we find similarities, but also some differences. Our results therefore … underscore the importance of studying polarization as distinct from traditional inequality. …