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Inequality, growth and public spending in Central, East and Southeast Europe

Mario Holzner

No 221, Working Papers from ECINEQ, Society for the Study of Economic Inequality

Abstract: The article analyses the joint determinants of inequality and growth with a special emphasis on public spending structures in transition. We find especially government expenditures on subsidies to be negatively correlated with both inequality and growth, as more generally government expenditures seem to act counter-cyclically and inequality reducing. Also, there is a mutual benefit of low real interest rates, to both equity and economic development. This hints to the fact that in the late 1990's and early 2000's the European integration process allowed several of the transition economies to aim for the best of both worlds: equity and economic development.

Keywords: Inequality; Government Expenditures, Economic Growth, Transition (search for similar items in EconPapers)
JEL-codes: D63 H5 O4 P2 (search for similar items in EconPapers)
Pages: 26 pages
Date: 2011
New Economics Papers: this item is included in nep-fdg, nep-ltv and nep-tra
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4)

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http://www.ecineq.org/milano/WP/ECINEQ2011-221.pdf (application/pdf)

Related works:
Working Paper: Inequality, Growth and Public Spending in Central, East and Southeast Europe (2010) Downloads
Working Paper: Inequality, Growth and Public Spending in Central, East and Southeast Europe (2010) Downloads
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Persistent link: https://EconPapers.repec.org/RePEc:inq:inqwps:ecineq2011-221

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