Economic growth, inequality and efficiency

Sona Stikarova ()
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Sona Stikarova: University of Economics in Bratislava, Faculty of National Economy, Department of Economic Policy

No 6, Department of Economic Policy Working Paper Series from Department of Economic Policy, Faculty of National Economy, University of Economics in Bratislava

Abstract: Over the last decades, theoretical work has come up with a significant amount of concepts how the income inequality and economic growth may affect each other. The recent literature identifies many channels through inequality may have positive, negative or even both effects on economic performance, but in different time dimensions. The relationship has been researched from the both perspective: the impact of income inequality on economic growth, and how the economic growth and efficiency are related to income inequality. Despite of the amount of theoretical and empirical work, the relationship between efficiency and equality is far from being well understood.

Keywords: income inequality; efficiency; growth (search for similar items in EconPapers)
JEL-codes: E60 O10 (search for similar items in EconPapers)
Pages: 9 pages
Date: 2014-09-17
New Economics Papers: this item is included in nep-fdg and nep-gro
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