for all households, and an increase in wealth inequality. Nevertheless, welfare losses are bigger for households with …

of inequality and the income level in an economy. First, present-biased envy generates the Matthew effect (the relatively …

monetary and fiscal policies become sharper as the level of income inequality increases. …

-an inverse-U shape relationship between income inequality and per capita GDP-that is relatively stable from the 1960s into the … 2000s. The direct effect of international openness on income inequality is also found to be positive. On the other hand, a … cross-country-growth equation shows a negative effect of income inequality on economic growth, holding fixed a familiar set …