Redistribution, inequality, and growth: new evidence

  title={Redistribution, inequality, and growth: new evidence},
  author={Andrew G. Berg and Jonathan David Ostry and Charalambos G. Tsangarides and Yorbol Yakhshilikov},
  journal={Journal of Economic Growth},
We investigate the relationship between inequality, redistribution, and growth using a recently-compiled dataset that distinguishes clearly between market (pre-tax and transfer) and net (post tax and transfer) inequality, and allows us to calculate redistributive transfers for a large number of advanced and developing countries. Across a variety of estimation methods, data samples, and robustness checks, we find: (1) lower net inequality is robustly correlated with faster and more durable… Expand
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