ERN: EquityPub Date : 2016-09-27DOI: 10.2139/SSRN.2844435
M. Laskowska
{"title":"La lutte contre les inegalites (A Fight Against Inequalities)","authors":"M. Laskowska","doi":"10.2139/SSRN.2844435","DOIUrl":"https://doi.org/10.2139/SSRN.2844435","url":null,"abstract":"French Abstract: Mon dossier comporte ce qui suit:Introduction I. Lutte pour sortir du sous-developpement II. Theories sur les inegalitesIII. Etat du debat actuel : l’altermondialisme en reponse au neo-liberalismeIV. Comment se developper ? - les theories modernesV. Causalite directe entre la mentalite et la reussite economiqueVI. Facteurs institutionnels, culturels et comportementaux du developpementVII. Contester l’incontestable VIII. Relation entre le progres technique et les inegalitesIX. PrecisionsX. ConclusionsEnglish Abstract: My paper refers to the fight against under-development and some theories on inequalities. It also points to some current debates as responses to neo-liberalism. It also asks the question: how to develop? - modern theories and underlines the direct causality link between mentality and economic successes. My paper also shows institutional, cultural and behavioral factors of development and refers to the relationship between technological progress and inequalities.","PeriodicalId":282303,"journal":{"name":"ERN: Equity","volume":"66 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2016-09-27","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"124155051","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
ERN: EquityPub Date : 2016-09-07DOI: 10.1163/2210-7975_hrd-9985-2016009
M. Tanner
{"title":"Five Myths About Economic Inequality in America","authors":"M. Tanner","doi":"10.1163/2210-7975_hrd-9985-2016009","DOIUrl":"https://doi.org/10.1163/2210-7975_hrd-9985-2016009","url":null,"abstract":"Economic inequality has risen to the top of the political agenda, championed by political candidates and best-selling authors alike. Yet, many of the most common beliefs about the issue are based on misperceptions and falsehoods.Although we are frequently told that we are living in a new Gilded Age, the U.S. economic system is already highly redistributive. Tax policy and social welfare spending substantially reduce inequality in America. But even if inequality were growing as fast as critics claim, it would not necessarily be a problem.For example, contrary to stereotypes, the wealthy tend to earn rather than inherit their wealth, and relatively few rich people work on Wall Street or in finance. Most rich people got that way by providing us with goods and services that improve our lives.Income mobility may be smaller than we would like, but people continue to move up and down the income ladder. Few fortunes survive for multiple generations, while the poor are still able to rise out of poverty. More important, there is little relationship between inequality and poverty. The fact that some people become wealthy does not mean that others will become poor.Although the wealthy may indeed take advantage of political connections for their own benefit, there is little evidence that, as a group, they pursue a political agenda designed to suppress the poor or prevent policies designed to help them. At the same time, rather than reducing economic inequality, more government intervention may actually make the situation worse. Since policies to reduce inequality, such as increased taxes or additional social welfare programs, are likely to have unintended consequences that could cause more harm than good, we should instead focus on implementing policies that actually reduce poverty, rather than attacking inequality itself.","PeriodicalId":282303,"journal":{"name":"ERN: Equity","volume":"139 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2016-09-07","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"115977741","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
ERN: EquityPub Date : 2016-08-01DOI: 10.5089/9781475523249.001
Carlos Góes
{"title":"Testing Piketty's Hypothesis on the Drivers of Income Inequality: Evidence from Panel VARs with Heterogeneous Dynamics","authors":"Carlos Góes","doi":"10.5089/9781475523249.001","DOIUrl":"https://doi.org/10.5089/9781475523249.001","url":null,"abstract":"Thomas Piketty's Capital in the Twenty-First Century puts forth a logically consistent explanation for changes in income and wealth inequality patterns. However, while rich in data, the book provides no formal empirical testing for its theoretical causal chain. In this paper, I build a set of Panel SVAR models to check if inequality and capital share in the national income move up as the r-g gap grows. Using a sample of 19 advanced economies spanning over 30 years, I find no empirical evidence that dynamics move in the way Piketty suggests. Results are robust to several alternative estimates of r-g.","PeriodicalId":282303,"journal":{"name":"ERN: Equity","volume":"393 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2016-08-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"124229101","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
ERN: EquityPub Date : 2016-08-01DOI: 10.1111/roiw.12376
P. Bofinger, Philipp Scheuermeyer
{"title":"Income Distribution and Aggregate Saving: A Non-Monotonic Relationship","authors":"P. Bofinger, Philipp Scheuermeyer","doi":"10.1111/roiw.12376","DOIUrl":"https://doi.org/10.1111/roiw.12376","url":null,"abstract":"Drawing on a panel of 29 advanced economies, this paper documents a concave and non-monotonic link between inequality and the aggregate household saving rate. We find that, at a low level of inequality, more inequality is associated with higher saving; but also show that a negative relationship between inequality and saving prevails, where inequality is high. Using different empirical approaches, we locate the turning-point, where the marginal effect of inequality turns from positive to negative, at a net income Gini coefficient of around 30. Moreover, we show that the relationship between inequality and saving also depends on financial market conditions: While inequality increases saving, when credit is scarce, it tends to reduce saving at high levels of credit. This paper primarily focuses on household saving, yet we also find some evidence for a non-monotonic effect of inequality on private saving, national saving, and the current account balance.","PeriodicalId":282303,"journal":{"name":"ERN: Equity","volume":"40 5 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2016-08-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"122500886","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
ERN: EquityPub Date : 2016-08-01DOI: 10.1111/roiw.12234
L. Oliveira, Debora F. De Souza, Luciana A. Dos Santos, Marta Antunes, Nícia C. H. Brendolin, Viviane C. C. Quintaes
{"title":"Construction of a Consumption Aggregate Based on Information from POF 2008‐2009 and Its Use in the Measurement of Welfare, Poverty, Inequality and Vulnerability of Families","authors":"L. Oliveira, Debora F. De Souza, Luciana A. Dos Santos, Marta Antunes, Nícia C. H. Brendolin, Viviane C. C. Quintaes","doi":"10.1111/roiw.12234","DOIUrl":"https://doi.org/10.1111/roiw.12234","url":null,"abstract":"Given the complexity of family and individual welfare, this study aims to explain the construction of a family consumption aggregate, using data from Brazilian Family Expenditure Survey (2008–2009), and also to measure and analyze welfare, poverty, inequality and vulnerability. Following the literature, some aspects were considered: the selection of expenditures, the analysis of extreme values, the imputation of food consumption, the user cost of durable goods and a spatial price deflator. After the definition of the family consumption aggregate, we analyzed the Generalized Lorenz Curves, social welfare functions and inequality measures. Then we presented the sensitivity of the identification exercise to different poverty lines and analyzed the severity of poverty. Finally, based on Chaudhuri et al. (2002) and Elbers et al. (2002), the vulnerability to poverty was studied taking account of area (clusters) effects. In this last exercise, the poverty line was based on half the minimum wage in 2008.","PeriodicalId":282303,"journal":{"name":"ERN: Equity","volume":"11 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2016-08-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"128170986","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
ERN: EquityPub Date : 2016-07-19DOI: 10.2139/ssrn.2811954
G. Little
{"title":"Why Work","authors":"G. Little","doi":"10.2139/ssrn.2811954","DOIUrl":"https://doi.org/10.2139/ssrn.2811954","url":null,"abstract":"An analysis of society, the economy, the place of work in daily life and how to achieve a fairer society with greater economic justice.","PeriodicalId":282303,"journal":{"name":"ERN: Equity","volume":"120 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2016-07-19","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"116939223","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
ERN: EquityPub Date : 2016-07-01DOI: 10.1093/OXFORDHB/9780190274801.013.9
J. Helliwell, Haifang Huang, Shun Wang
{"title":"New Evidence on Trust and Well-Being","authors":"J. Helliwell, Haifang Huang, Shun Wang","doi":"10.1093/OXFORDHB/9780190274801.013.9","DOIUrl":"https://doi.org/10.1093/OXFORDHB/9780190274801.013.9","url":null,"abstract":"This paper first uses data from three large international surveys – the Gallup World Poll, the World Values Survey and the European Social Survey – to estimate income-equivalent values for social trust, with a likely lower bound equivalent to a doubling of household income. Second, the more detailed and precisely measured trust data in the European Social Survey (ESS) show that social trust is only a part of the overall climate of trust. While social trust and trust in police are the most important elements, there are significant additional benefits from trust in three aspects of the institutional environment: the legal system, parliament and politicians. Thus estimates of the total well-being value of a trustworthy environment are larger than those based on social trust alone. Third, the ESS data show that living in a high-trust environment makes people more resilient to adversity. Being subject to discrimination, ill-health or unemployment, although always damaging to subjective well-being, is much less damaging to those living in trustworthy environments. These results suggest a fresh set of links between trust and inequality. Individuals who are subject to discrimination, ill-health or unemployment are typically concentrated towards the lower end of any national distribution of happiness. Thus the resilience-increasing feature of social trust reduces well-being inequality by channeling the largest benefits to those at the low end of the well-being distribution.","PeriodicalId":282303,"journal":{"name":"ERN: Equity","volume":"113 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2016-07-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"123751062","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
ERN: EquityPub Date : 2016-07-01DOI: 10.3386/w22462
M. Weinzierl
{"title":"Popular Acceptance of Inequality Due to Brute Luck and Support for Classical Benefit-Based Taxation","authors":"M. Weinzierl","doi":"10.3386/w22462","DOIUrl":"https://doi.org/10.3386/w22462","url":null,"abstract":"U.S. survey respondents’ views on distributive justice are shown to differ in two specific, related ways from what is conventionally assumed in modern optimal tax research. A large share of respondents, and in some cases a large majority, resist the full equalization of inequality due to brute luck that standard analyses would recommend. Related, a similar share prefer a classical benefit-based logic for the assignment of taxes over the conventional logic of diminishing marginal social welfare. Moreover, these two views are linked: respondents who more strongly resist equalization are more likely to prefer the classical benefit-based principle. Together, these results suggest that a large share of the American public views the allocation of pre-tax incomes as relevant to optimal tax policy and—at least in part—justly deserved unless proven otherwise, judgments that are inconsistent with standard welfarist objectives.","PeriodicalId":282303,"journal":{"name":"ERN: Equity","volume":"13 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2016-07-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"114750140","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
ERN: EquityPub Date : 2016-06-15DOI: 10.2139/ssrn.3510475
Yomi Olalere
{"title":"Understanding the cost and benefits of a developing economy","authors":"Yomi Olalere","doi":"10.2139/ssrn.3510475","DOIUrl":"https://doi.org/10.2139/ssrn.3510475","url":null,"abstract":"The characterization of certain economies as “developing” attracts immense benefits, and of course, unimaginable costs at the discussion table of the World Trade Organization (WTO). Far too long, developing countries have suffered from decades of socio-political and economic backwardness leading to poverty, inequality, environmental degradation, short life span, and unsustainable individual disposable income. All these development-inhibiting factors have given about 1109 (2/3*164) WTO Members an economic label called “developing,” and increasingly, creates the wealth gap between the developing countries, and the developed nations. <br><br>Coincidentally, this sadly agrees with the OECD findings that top 0.6% of world population or the 42 million richest people in the world held 39.3% of the world wealth. To ease some the economic burdens, developing countries needed a “rescue operation” in form of the WTO special provision.","PeriodicalId":282303,"journal":{"name":"ERN: Equity","volume":"29 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2016-06-15","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"133116208","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
ERN: EquityPub Date : 2016-05-01DOI: 10.2139/ssrn.2788802
Ryan Young, I. Murray
{"title":"People, Not Ratios: Why the Debate Over Income Inequality Asks the Wrong Questions","authors":"Ryan Young, I. Murray","doi":"10.2139/ssrn.2788802","DOIUrl":"https://doi.org/10.2139/ssrn.2788802","url":null,"abstract":"The debate over income inequality became especially heated following the English-language publication of French economist Thomas Piketty’s bestselling book, Capital in the Twenty-First Century. The controversy has generated more heat than light. This paper seeks to clarify common points of confusion in the inequality debate and expose the fundamentals behind the ideological tussle. For all sides of the inequality debate, the overarching goal should be to reduce global poverty.","PeriodicalId":282303,"journal":{"name":"ERN: Equity","volume":"40 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2016-05-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"126947241","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}