In this paper we revisit the relationship between democracy, redistribution and inequality. We first explain the … theoretical reasons why democracy is expected to increase redistribution and reduce inequality, and why this expectation may fail … such activities, thus exacerbating inequality among a large part of the population. We then survey the existing empirical …

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 …

Recent research on the economics of human development deepens understanding of the origins of inequality and excellence …

easy-to-use toolbox. Our method extends standard linearization techniques and is designed to work in cases when inequality … factor-specific productivity shocks shape dynamics of income and consumption inequality …

Top income inequality rose sharply in the United States over the last 35 years but increased only slightly in economies … effort to generate exponential growth in their incomes. On its own, this force leads to rising inequality. Creative … entrepreneurial incomes and therefore increase Pareto inequality. In contrast, policies that stimulate creative destruction reduce top …

“capitalist” only profit income— offers insights about how income inequality affects the monetary transmission mechanism. Under …

Studies of inequality often ignore resource allocation within the household. In doing so they miss an important element …, measures of inequality that ignore intra household allocations are both incomplete and misleading. We discuss determinants of …

This paper develops a theory of socially determined aspirations, and the interaction of those aspirations with growth … and inequality. The interaction is bidirectional: economy-wide outcomes determine individual aspirations, which in turn …. When capital stocks lie in some compact set, steady states distributions must exhibit inequality and are typically …

greater inequality, optimal regulation increases the equilibrium wage, benefiting most households. This result extends to a …