Working Paper
Structural transformation, inequality dynamics, and inclusive growth in Bangladesh
The Bangladesh economy has undergone significant structural changes over the last four decades. The share of agriculture in GDP has declined, while the significance of industry and service sectors has increased. These structural changes have been...
Working Paper
Benign growth
Between 1981 and 2017, real gross domestic product in Thailand grew at an average annual rate of 5.7 per cent. Agricultural output grew more slowly than industry or services, and its gross domestic product share consequently declined. Industry’s...
Working Paper
Structural transformation, inequality, and inclusive growth in South Africa
This paper evaluates structural change, inequality dynamics, and industrial policy in South Africa between 1960 and the present day. We find that South Africa experienced growth-enhancing structural transformation until the early 1970s, before...
Working Paper
Wage polarization in a high-inequality emerging economy
Earnings growth in South Africa displayed a U-shaped pattern across the earnings percentiles between 2000 and 2015, resembling wage polarization in the industrialized world. We investigate whether the drivers of this example of wage polarization in...
Working Paper
The changing nature of work and inequality in Brazil (2003–19)
In this paper we use different sources of data on job task content to investigate the importance of occupations and the intensity of routine tasks embodied in them in explaining changes in employment and earnings in Brazil, in particular their...
Blog
Kanika Mahajan – IEA featured economist interview
by
UNU-WIDER
September 2021
Kanika Mahajan, a researcher engaged in UNU-WIDER's project on 'The changing nature of work and inequality', is the August 2021 featured economist of...
Blog
Working together to better understand how COVID-19 affects poverty and inequality
In summer 2020 the SOUTHMOD team set out, with partners, to analyse the impact of government policies on protecting households from getting poorer and...
Blog
Dr Pia Rattenhuber on inequality in crises — an interview
How do crises such as the COVID-19 pandemic influence inequality and the other way around? This year’s UN Day Dresden put a spotlight on “Inequalities...
Journal Article
The political economy of the resource curse
This article reviews the recent literature on the developmental effects of resource abundance, assessing likely effects and channels with respect to key development outcomes. To date, this area has received less analysis, although it is relevant to...
Blog
A ‘data revolution’ for sustainable development leaves gaps on inequality
Among the many things said about the Sustainable Development Goals (SDGs) is the description by the President of the UN General Assembly’s 70th...
Working Paper
Inequality and structural transformation in the changing nature of work
This paper analyses the labour market dynamics in Indonesia from 2001 to 2015 and explores the role of the changing nature of occupational employment in explaining the rising earnings inequality during the same period. First, we find evidence of a...
Technical Note
WIID Companion (March 2021): data selection
This document is part of a series of technical notes describing the compilation of a new companion database that complements the World Income Inequality Database (WIID). It aims at facilitating the analysis of inequality as well as progress in...
Technical Note
WIID Companion (March 2021): integrated and standardized series
This document is part of a series of technical notes describing the compilation of a new companion database that complements the World Income Inequality Database. It aims at facilitating the analysis of inequality as well as progress in achieving the...
Technical Note
WIID Companion (March 2021): gobal income distribution
This document is part of a series of technical notes describing the compilation of a new companion database that complements the UNU-WIDER World Income Inequality Database. It aims at facilitating the analysis of inequality as well as progress in...
Working Paper
Do pandemics lead to rebellion? Policy responses to COVID-19, inequality, and protests in the USA
This paper analyses how inequality across counties in the United States of America has shaped the impact of the COVID-19 pandemic on the incidence of protests.The empirical analysis combines weekly data between January and December 2020 on levels of...
Working Paper
Regional and subregional analyses of macroeconomic policy strategies for growth and equality in Southern Africa
We investigate the relevance of beta (β, absolute and conditional) and sigma (σ) convergence in the economies of the Common Monetary Area of Southern Africa and in the provinces of the Republic of South Africa using panel data, allowing an...
Working Paper
The role of automatic stabilizers and emergency tax–benefit policies during the COVID-19 pandemic in Ecuador
This paper makes use of tax–benefit microsimulation techniques to quantify the distributional effects of COVID-19 in Ecuador and the role of tax–benefit policies in mitigating the immediate impact of the economic shocks. Our results show a dramatic...
Working Paper
Assessing pension-related tax expenditures in South Africa
In 2016, the South African government introduced a comprehensive reform to simplify and harmonize the pension system in order to incentivize pension savings and increase the fairness of the retirement system. Using administrative tax micro-data, we...
Working Paper
Changes in occupations and their task content
The aim of this paper is to identify the scope and patterns of the structural transformation as evidenced by changes in occupations and their task content, and their impact on employment, earnings and income distribution in Argentina during the new...
Working Paper
On the impact of inequality on growth, human development, and governance
Countering recent rises in many countries of inequality in income and wealth is widely recognized as a major development challenge. This is so from an ethical perspective and because greater inequality is perceived to be detrimental to key...
Technical Note
WIID Companion (May 2021): data selection
This document is part of a series of technical notes describing the compilation of a new companion database that complements the World Income Inequality Database (WIID). This technical note describes the first stage in constructing the new version...
Technical Note
WIID companion (May 2021): integrated and standardized series
This document is part of a series of technical notes describing the compilation of a new companion database that complements the World Income Inequality Database (WIID). A previous note described the selection of income distribution series. Since...
Technical Note
WIID Companion (May 2021): global income distribution
This document is part of a series of technical notes describing the compilation of a new companion database that complements the World Income Inequality Database (WIID). This technical note describes the construction of the global distribution...
Working Paper
Exploring economic support networks amidst racial inequality in Namibia
Community or interpersonal support as a critical source of livelihood sustenance in the Global South can exhibit unequal dynamics. An understanding of these practices is primarily tied to the conceptual space of poverty or small communities. Less is...
Blog
Ecuador’s social protection system failed during the pandemic: It needs a rethink
by
H. Xavier Jara, Lourdes Montesdeoca, Iva V. Tasseva
March 2021
Household incomes in Ecuador were badly hit by the pandemic, despite the government’s emergency grant to families. H Xavier Jara Tamayo (University of...
Working Paper
Measuring earnings inequality in South Africa using household survey and administrative tax microdata
Overall income inequality in South Africa is very high, and inequality generated in the labour market is a key driver of inequality.In this paper, I use the Post-Apartheid Labour Market Series, the General Household Surveys, and administrative tax...
Working Paper
Consolidating behavioural economics and rational choice theory
Using illustrations from research on inequality, this paper offers evidence on the strengths of ‘behavioural synthesis’, i.e. the reconciliation between neoclassical and behavioural economics.We compare how theoretical models of absolute and relative...
Working Paper
The impact of COVID-19 on consumption poverty in Mozambique
This study assesses the impact of the COVID-19 pandemic and the state of emergency implemented by the Government of Mozambique on household consumption poverty. To predict changes in income and the associated effects on poverty and inequality, we...
Blog
New WIID Companion to improve the study of inequality
by
Carlos Gradín
April 2021
There is a growing need to understand income inequality trends and how they interplay with other social, economic, and political outcomes, both at the...
Blog
Good intentions falling short – the case of pension-related tax expenditures in South Africa
by
Agustin Redonda
April 2021
Tax benefits to boost contributions into pension funds or pension-related tax expenditures (PTEs) are used widely by governments worldwide to address...
Blog
COVID-19 lays bare Cape Town’s social divide, deepens underlying inequalities
by
Simone Schotte, Rocco Zizzamia
April 2021
The COVID-19 pandemic delivered a devastating economic shock to livelihoods across the world. In Cape Town, it has been toughest on those who had just...
Working Paper
Horizontal and intersecting inequalities in Mozambique
This study seeks to add to the research on inequality in least developed countries, namely in Mozambique, by measuring and mapping indicators of horizontal wealth inequality along geographic regions and ethnolinguistic identities. Using census data...
Working Paper
Inequality, institutions, and cooperation
We examine the effects of randomly introduced economic inequality on voluntary cooperation, and whether this relationship is influenced by the quality of local institutions, as proxied by corruption. We use representative data from a large-scale lab...
Research Brief
Are credits or deductions better in public health spending?
The impact of medical deductions and medical credits on income inequality is a subject of discussion in South Africa, as well as in many other countries, raising critical questions about the fairness of the medical tax system and the impact on...
Working Paper
Earnings inequality and the changing nature of work
With structural changes in production coupled with technological progress, there have been shifts in modes of production and patterns of employment, with important consequences on task composition of occupations. This paper has utilized different...
Working Paper
Size matters: measuring the effects of inequality and growth shocks
Understanding the relationship between income inequality and economic growth is of utmost importance to economists and social scientists. In this paper we use a Bayesian structural vector autoregression approach to estimate the relationship between...
Working Paper
Inequality and the changing nature of work in Peru
This paper identifies the socioeconomic drivers of earnings inequality in Peru in the period 2004–18. Using the ENAHO household surveys and data on routine task content of occupations, we apply inequality decomposition methods to the real earnings...
Working Paper
The social psychology of economic inequality
In this review, I provide an overview of the literature investigating the social psychology of economic inequality, focusing on individuals’ understandings, perceptions, and reactions to inequality. I begin by describing different ways of measuring...
Journal Article
Ethnic inequality, cultural distance, and social integration: evidence from a native-settler conflict in the Philippines
A key debate in studies of native-migrant relations relates to the barriers to integration created by ethno-cultural differences and socio-economic disadvantage. How do changes in socio-economic inequality between ethnic groups affect interethnic...
Journal Article
Normalizing necessity?
Community support is a critical source to sustain livelihoods in the Global South. At the same time, these practices can exhibit unequal dynamics such as disincentives, hierarchies, or adverse inclusion of individuals. However, an understanding of...
Working Paper
The mitigating role of tax and benefit rescue packages for poverty and inequality in Africa amid the COVID-19 pandemic
This paper analyses the distributional effects of the COVID-19 pandemic and related tax-benefit measures in 2020 in a cross-country comparative perspective for five African countries: Ghana, Mozambique, Tanzania, Uganda, and Zambia. We first estimate...
Working Paper
Learning from experience: Special Economic Zones in Southern Africa
Special Economic Zones (SEZs) have become common across Southern Africa in the past 20 years. In line with experiences in the rest of the world, they have had at best marginal success. Their essential premise is that it should be more efficient and...
Blog
A summer reading list of our latest papers, articles, and books
At the UNU-WIDER offices here in Helsinki, Finland, the summer holidays are almost upon us. Looking at the list of new UNU-WIDER publications, it is...
Blog
Grandads, dads, and sons: Examining multigenerational mobility in India
While studies have examined the association in socioeconomic status between parent and offspring, there has been relatively little research on...
Policy Brief
Inequality in Mexico
Since 1989, inequality in Mexico has risen, declined, and risen again. The evolution of labour income inequality is at the core of this pattern. To reverse the current trend of rising inequality, access to secondary and tertiary education should...
Policy Brief
Inequality in India on the rise
Following the introduction of economic reforms in the early 1990s, India today is achieving unprecedented per capita growth rates. Poverty reduction has also accelerated and is justly celebrated. There is great concern, however, that this growth is...
Working Paper
Extractives for development
Countries face both challenges and opportunities in using their extractive industries to achieve more inclusive development—particularly in the developing world. Yet while a large national income can result from resource wealth, it can also be...
Working Paper
The dynamics of spatial and local inequalities in India
Studies of the spatial dimensions of inequality in developing countries are mostly restricted to states, provinces, or districts, typically the smallest geographical units for which data are representative in national surveys. We introduce a...
Working Paper
Intergenerational mobility, human capital accumulation, and growth in India
Productivity and socio-economic progress are inter-connected. Economic growth funds policies that promote socio-economic progress, while the latter serves as a growth engine. A society with high mobility is one where individual achievements are...
Working Paper
Inequality in Mexico
Income inequality in Mexico increased between 1989 and 1994; between 1994 and 2006, inequality declined; and, between 2006 and 2014, inequality was again on the rise. We apply decomposition techniques to analyse the proximate determinants of labour...
Working Paper
Inequality trends and dynamics in India
India today is achieving per capita growth rates that are historically unprecedented. Poverty reduction has also accelerated. There is concern, however, that this growth is being accompanied by rising inequality. We report on a research project that...
Working Paper
Learning from the ʻbestʼ
Redistributive systems in Africa are still in their infancy but are constantly expanding in order to finance increasing public spending. This paper aims at characterizing the redistributive potential of six African countries: Ghana, Zambia...
Working Paper
An assessment of inequality estimates for the case of South Africa
A substantial amount of research has been conducted examining inequality in South Africa using multiple data sources. We provide an overview of this research in this paper. Furthermore, we use nationally representative survey data to estimate income...
Working Paper
Differences in inequality measurement
Over the years, money-metric measures of inequality such as the Gini coefficient and the Palma Ratio, as frequently used in Ghana, have become useful in providing quantitative measures of welfare distribution that enable a better understanding of the...
Journal Article
Theoretical models of inequality
Using illustrations from research on inequality, this essay makes a case for ‘behavioural synthesis’, that is the reconciliation between neo-classical and behavioural economics. Focusing on selected theories of absolute and relative inequality, we...
Blog
The richer your neighbours, the more you borrow – the case of South Africa
by
Shakeba Foster
April 2023
Research on how income inequality affects borrowing behaviour reignited after the 2008 global recession. One prevailing theory is that rising income...
Blog
The Great Gatsby Curve and the Global South: Time for a more ambitious redistribution and reparations agenda
by
Diding Sakri,
Andy Sumner, Arief Anshory Yusuf
April 2023
The famous 1920s book The Great Gatsby, by F. Scott Fitzgerald, is the classic analogy for the American dream of meritocracy —that any person can...
Working Paper
Democracy clusters and patterns of inequality
This paper employs k-means clustering, a multidimensional pattern recognition method, to categorize countries using information from five Varieties of Democracy indices. K-means country clusters are similar but not entirely identical to both k...
Working Paper
Evaluating the impact of the 2023–2024 personal income tax reform in Rwanda
Establishing an equitable and efficient tax system is essential for reducing poverty, combating inequality, and fostering sustainable economic growth. Rwanda’s government has recognized this and implemented significant changes to the personal income...
Book Chapter
Poverty, inequality, and growth
Reducing poverty and inequality and promoting inclusive growth are fundamental to achieving the UN Sustainable Development Goals (SDGs), approved by the UN General Assembly in September 2015. The first target of SDG1 is to eradicate extreme poverty...
Book Chapter
Inequality and growth
What is the relationship between inequality and growth? This question has occupied and fascinated social scientists for more than a century. This chapter critically reviews the recent empirical and theoretical literature on the complex interplay...
Working Paper
Inequality and institutional outcomes in Viet Nam
Better understanding of inequality, including its relationship to governance and other key outcomes, is relevant both to academic researchers and to policy-makers. Nevertheless, efforts to establish causal relationships empirically remain hampered by...