Within developing and newly industrialized countries, rising wage inequality is both common and highly correlated with … model Southern catch-up induces a correlation between rising inequality and export growth. It also induces a shift in trade … patterns that results in skill upgrading and rising inequality in both the South and the North. A rudimentary empirical …

This essay discusses the effect of technical change on wage inequality. I argue that the behavior of wages and returns … increase in inequality is most likely due to an acceleration in skill bias. In contrast to twentieth century developments, most …

progressivity, noting that optimal taxation theory predicts that growing inequality should increase progressivity. We discuss public …This paper explores the links between two phenomena of the past two decades: striking increase in the inequality of pre …-tax incomes, and the failure of tax-and-transfer progressivity to increase. We emphasize the causal links going from inequality to …

This paper examines the consequences of social security reform for the inequality of consumption across individuals …. The idea is that inequality is at least in part the result of individual risk in earnings or asset returns, the effects of … which accumulate over time to increase inequality within groups of people as they age. Institutions such as social security …

reducing inequality. Educated workers in these countries have a much lower birthrate than uneducated workers. Assuming children … effect generates multiple steady-state levels of inequality, suggesting that in some circumstances, temporarily increasing … access to educational opportunities could permanently reduce inequality. Empirical evidence suggests that the fertility …

greater inequality. To investigate this we construct a dynamic model of intergenerational education acquisition, fertility …'s (1997) finding of a basically insignificant effect of marital sorting on inequality, we find that increased marital sorting … will significantly increase income inequality. Three factors are central to our findings: a negative correlation between …