EconPapers    
Economics at your fingertips  
 

Inequality of opportunity and growth

Gustavo Marrero () and Juan Rodríguez ()

Journal of Development Economics, 2013, vol. 104, issue C, 107-122

Abstract: Theoretical and empirical studies exploring the effects of income inequality upon growth reach a disappointing inconclusive result. This paper postulates that one reason for this ambiguity is that income inequality is actually a composite measure of inequality of opportunity and inequality of effort. They may affect growth through opposite channels, thus the relationship between inequality and growth depends on which component is larger. Using the PSID database for the U.S. in 1970, 1980 and 1990 we find robust support for a negative relationship between inequality of opportunity and growth, and a positive relationship between inequality of effort and growth.

Keywords: Income inequality; Inequality of opportunity; Economic growth (search for similar items in EconPapers)
JEL-codes: D63 E24 O15 O40 (search for similar items in EconPapers)
Date: 2013
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (41) Track citations by RSS feed

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0304387813000813
Full text for ScienceDirect subscribers only

Related works:
Working Paper: Inequality of opportunity and growth (2010) Downloads
Working Paper: Inequality of Opportunity and Growth (2009) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:deveco:v:104:y:2013:i:c:p:107-122

DOI: 10.1016/j.jdeveco.2013.05.004

Access Statistics for this article

Journal of Development Economics is currently edited by M. R. Rosenzweig

More articles in Journal of Development Economics from Elsevier
Bibliographic data for series maintained by Dana Niculescu ().

 
Page updated 2020-02-06
Handle: RePEc:eee:deveco:v:104:y:2013:i:c:p:107-122