A New Approach for Analysing Income Convergence across Countries

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

Economics, Finance and Accounting Department Working Paper Series from Department of Economics, Finance and Accounting, National University of Ireland - Maynooth

Abstract: In this paper we develop a coherent framework that integrates both traditional measures of â-convergence and ó-convergence within a study of cross-country income dynamics. To do this we exploit the close links that exist between studies of income mobility and studies analysing the progressivity of the tax system. We also develop a welfare interpretation for the concept of â-convergence, which distinguishes it from the more general form of ó-convergence and which also suggests that the â-process may be worthy of independent study. We illustrate our approach using data for the period 1960-2000.

Date: 2003-10
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Related works:
Working Paper: A New Approach For Analysing Income Convergence Across Countries (2004)
Working Paper: A new approach for analysing income convergence across countries (2004)
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Persistent link: http://EconPapers.repec.org/RePEc:may:mayecw:n1261003

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