Finance and Inequality
Martin Cihak () and
No 2020/001, IMF Staff Discussion Notes from International Monetary Fund
The study examines empirical relationships between income inequality and three features of finance: depth (financial sector size relative to the economy), inclusion (access to and use of financial services by individuals and firms), and stability (absence of financial distress). Using new data covering a wide range of countries, the analysis finds that the financial sector can play a role in reducing inequality, complementing redistributive fiscal policy. By expanding the provision of financial services to low-income households and small businesses, it can serve as a powerful lever in helping create a more inclusive society but—if not well managed—it can amplify inequalities.
Keywords: Income inequality; Financial inclusion; Financial services; Income distribution; Financial sector; SDN,income,Gini coefficient,financial system,market Gini index (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-fdg and nep-mac
References: Add references at CitEc
Citations: Track citations by RSS feed
Downloads: (external link)
Our link check indicates that this URL is bad, the error code is: 403 Forbidden
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:imf:imfsdn:2020/001
Ordering information: This working paper can be ordered from
Access Statistics for this paper
More papers in IMF Staff Discussion Notes from International Monetary Fund International Monetary Fund, Washington, DC USA. Contact information at EDIRC.
Bibliographic data for series maintained by Akshay Modi ().