Kicking the Ladder or Not? Unraveling Income Inequality Perceptions in the World

Abstract

This research aims to explore the factors influencing support for income equality at both the individual and macro levels worldwide. By analyzing the latest data from the World Values Survey, which includes responses from 50,615 individuals across 42 countries, and incorporating key macroeconomic variables obtained from the World Bank, this study identifies several crucial determinants of attitudes towards addressing income inequality using logistic regression analysis. The research findings reveal that factors such as material well-being, life satisfaction, institutional trust, job status, place of residence, level of education, and religiosity play a significant role in shaping individual perceptions of income inequality, particularly in the context of support for either support for redistributive policy or free-market capitalism as potential solutions to mitigate income disparities. Additionally, macro-level variables reveal a substantial influence on support for income equality. Income per capita, income share of the top 10, the unemployment rate, and women's representation in parliament as a proxy for gender equality are found to significantly increase the likelihood of endorsing efforts to reduce income inequality. Our results remain robust when controlling for alternative income-related variables.