This paper discusses two issues in the relationship between inequality and economic growth: the data and the econometrics. We first review the income inequality data set of Deininger and Squire (D&S), which, we argue, fails to provide either adequate or accurate coverage, whether through time or...

This paper uses recently published top 1% income share series in studying the inequality-development association. The top income shares data are of high quality and cover about a century for some countries and thus provide an interesting opportunity to study slow development processes. The...

The existing empirical knowledge in the area of financial sector development and income inequality finds evidence for the theoretical work of Banerjee and Newman (1993) and Galor and Zeira (1993) who posit a simple, linear relationship between the two variables. In this paper, we subject the...

This article examines the relationship between financial development and income inequality for selected EU countries by using fixed effects panel data estimator over the years 2004-2015. Our empirical results show that financial development ultimately causes an increase in income inequality...