Some economists have argued that the process of disintegration of world economy between the two World Wars has led to increased income divergence between the countries. This is in keeping with the view that economic integration leads to income convergence, and consequently that income divergence...

Thomas Piketty's "Capital in the 21st century" may be one of the most important recent economics books. It jointly treats theory of growth, functional distribution of income, and interpersonal income inequality. It envisages a future of relatively slow growth with the rising share of capital...

We are used to thinking about inequality within countries--about rich Americans versus poor Americans, for instance. But what about inequality between all citizens of the world? <i>Worlds Apart</i> addresses just how to measure global inequality among individuals, and shows that inequality is shaped by...

The reformulation of the median voter hypothesis and its testing proposed in Milanovic (2000) has been criticized from four different perspectives. The critiques are discussed and assessed.

The median voter hypothesis has been central to an extensive literature on consequences of income distribution. For example, it has been proposed that greater inequality is associated with lower growth, because of the greater redistribution that is sought by the median voter when income...

The effects of globalization on income distribution within rich and poor countries are a matter of controversy. While international trade theory in its most abstract formulation implies that increased trade and foreign investment should make income distribution more equal in poor countries and...

Suppose that all people in the world are allocated only two characteristics: country where they live and social class within that country. Assume further that there is no migration. We show that 90 percent of variability in people’s global income position (percentile in world income...

Suppose that all people in the world are allocated only two characteristics over which they have (almost) no control: country of residence and income distribution within that country. Assume further that there is no migration. We show that more than one-half of variability in income of world...

Using social tables, the author makes an estimate of global inequality (inequality among world citizens) in the early 19th century. The analysis shows that the level and composition of global inequality have changed over the past two centuries. The level has increased, reaching a high plateau...