Effect of privatisation on income inequality: a European analysis

Noemí Peña-Miguel () and Beatriz Cuadrado-Ballesteros ()
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Noemí Peña-Miguel: University of the Basque Country (UPV/EHU)
Beatriz Cuadrado-Ballesteros: University of Salamanca

Empirica, 2021, vol. 48, issue 3, No 6, 697-716

Abstract: Abstract This study analyses the link between privatisation reforms and income inequality on a sample of 25 European countries between 2003 and 2013. Previous literature has related privatisations with the level of poverty, welfare, and well-being of population, but findings regarding income inequality are scarce, especially in the European context. The empirical results of this study suggest a positive link between both topics, for different indicators of privatisation and inequality. Concretely, findings suggest that income inequality is higher in countries that have resorted to privatisation reforms to a greater extent. Then, social consequences should be considered when evaluating regulatory reform, such as privatisation.

Keywords: Privatisation; Income inequality; Income; Poverty; GINI (search for similar items in EconPapers)
Date: 2021
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DOI: 10.1007/s10663-020-09484-4

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