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A new approach for analysing income convergence across countries

Donal O'Neill () and Philippe Van Kerm ()

No 2004-03, IRISS Working Paper Series from IRISS at CEPS/INSTEAD

Abstract: In this paper we develop a coherent framework that integrates both traditional measures of b-convergence and s-convergence within a study of cross-country income dynamics. To do this we exploit the close links that exist between studies of income convergence and studies analysing the progressivity of the tax system. Our framework offers a simple algebraic decomposition of s-convergence as the combined effect of b-convergence and leapfrogging among countries. We illustrate our approach using data for the period 1960-2000.

Keywords: convergence; redistribution; progressivity (search for similar items in EconPapers)
JEL-codes: O47 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-dev, nep-ets and nep-mac
Date: Written
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Published in The Manchester School, 76 (1), January 2008, 1–20

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Related works:
Working Paper: A New Approach For Analysing Income Convergence Across Countries (2004) Downloads
Working Paper: A New Approach for Analysing Income Convergence across Countries (2003) Downloads
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Persistent link: http://EconPapers.repec.org/RePEc:irs:iriswp:2004-03

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