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low investment and therefore growth. Empirically, the correlation between high inequality and low growth has been robust …Several recent papers addressing the role of income distribution in the growth process have focused on the role income … inequality plays in the political process. Inequality is linked to pressure for high, redistributionary tax rates, which lead to …
Persistent link: https://www.econbiz.de/10005467400
This paper analyses the relationship between income inequality and economic growth through fiscal policy. To this end …, we present and estimate two systems of structural equations with error components through which gross income inequality … determines different fiscal policy outcomes, which subsequently affects the evolution of economic growth and net income …
Persistent link: https://www.econbiz.de/10010608309
This paper analyses the relationship between income inequality and economic growth through fiscal policy. To this end …, we present and estimate two systems of structural equiation with error components through which gross income inequality … determines different fiscal policy outcomes, which subsequently affects the evolution of economic growth and net income …
Persistent link: https://www.econbiz.de/10010894977
We present new evidence showing that fiscal austerity strengthens support for redistribution, especially for the relatively well-off. Our theoretical model proposes two mechanisms to explain this heterogeneity in support for redistribution: ‘altruism’ and ‘appreciation’. We test our...
Persistent link: https://www.econbiz.de/10012799693
growth rate.In contrast to an economic equilibrium, environmental policy can be adopted when economic inequality reduces to a … demand of strengthened redistributive policy, which in turn decreases economic growth in a short run. We discuss broad policy …
Persistent link: https://www.econbiz.de/10012994620
Income distribution may be related to fundamentals affecting economic growth and to labor market policies. Noting that … inequality is affected by unemployment. This paper presents a model in which labor market policies affect unemployment which in … turn affects inequality. The model also includes the effects of changes in per capita income on inequality through the …
Persistent link: https://www.econbiz.de/10012752402
We present new evidence showing that fiscal austerity strengthens support for redistribution, especially for the relatively well-off. Our theoretical model proposes two mechanisms to explain this heterogeneity in support for redistribution: "altruism" and "appreciation". We test our theoretical...
Persistent link: https://www.econbiz.de/10012668262
We present new evidence showing that fiscal austerity strengthens support for redistribution, especially for the relatively well-off. Our theoretical model proposes two mechanisms to explain this heterogeneity in support for redistribution: ‘altruism’ and ‘appreciation’. We test our...
Persistent link: https://www.econbiz.de/10013314696
This paper tries to analyze whether pursuing economic growth and setting up labor market policies affect inequality … power of the regressions is high. On average the model explains about three quarters of the variation in inequality measures … for the OECD countries. The theoretical ignorance about the sources of inequality translates into sharp disagreements in …
Persistent link: https://www.econbiz.de/10014073411
particular the hypothesis that income inequality is related to fundamentals affecting economic growth is examined. …This paper provides an assessment of the determinants of income inequality in a broader macroeconomic context. In …
Persistent link: https://www.econbiz.de/10005423885