The geographical dimension of income inequality in Greece: evolution and the ‘turning point’ after the economic crisis

Abstract

This paper analyses the geographical variations in income level and income inequality in Greece over a long time period allowing comparisons between pre- and during the economic and fiscal crisis periods. The analysis is based on a novel database that includes individual micro-data of declared and taxable income aggregated at municipal level over the period 2002–14. Results indicate that economic crisis and fiscal reforms changed substantially both inter- and intra-municipal/interpersonal income inequalities. The geographies of income inequality are subject to the period of analysis, type of municipality and level of income. The geographies of inequality question the fairness and inclusiveness of the implemented reforms during the recession.