A new look at the trickle-down effect in the united states economy
Yuexing Lan () and
Charles Hegji ()
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Charles Hegji: Auburn University Montgomery
Economics Bulletin, 2009, vol. 29, issue 3, 1743-1748
This paper is a further investigation of the trickle-down theory. In addition to using more recent data, we use a methodology that examines some questions not previously addressed in the literature. The results suggest that an increase in wage leads to a more equal income distribution. The findings also indicate that there is no ¡°trickle-down¡± from proprietors¡¯ income and corporate profits to lower income group.
JEL-codes: I3 (search for similar items in EconPapers)
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Persistent link: https://EconPapers.repec.org/RePEc:ebl:ecbull:eb-08i30027
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