Article ID Journal Published Year Pages File Type
5058082 Economics Letters 2016 4 Pages PDF
Abstract

•The shares of bottom/top income groups vary by country more than the shares of the middle.•Middle groups are more concerned with overall growth of national income.•For top 1% or 5% gain from pro-inequality redistribution often greater than realistic gain from growth.

The paper shows using empirical evidence from more than 100 countries' household surveys, that income gains that the rich can realize through a more unequal distribution are often much larger than the realistic gains from a distribution-neutral growth. The rich are thus more likely to support policies that increase inequality than be concerned about income growth of their countries.

Related Topics
Social Sciences and Humanities Economics, Econometrics and Finance Economics and Econometrics
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