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Title:Inequality and economic growth: The empirical relationship reconsidered in the light of comparable data PDF Logo
Authors:Knowles, Stephen
Issue Date:2001
Series/Report no.:WIDER Discussion Papers // World Institute for Development Economics (UNU-WIDER) 2001/128
Abstract:All of the recent empirical work on the relationship between income inequality and economic growth has used inequality data that are not consistently measured. This paper argues that this is inappropriate and shows that the significant negative correlation often found between income inequality and growth across countries is not robust when income inequality is measured in a consistent manner, using data from the World Income Inequality Database. However, evidence is found of a significant negative correlation between consistently measured inequality of expenditure data and economic growth for a sample of developing countries.
Subjects:income inequality
expenditure distribution
economic growth
Document Type:Working Paper
Appears in Collections:WIDER Discussion Papers, United Nations University (UNU)

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