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Bringing inequality back in

Author

Listed:
  • Heather Boushey

    (Executive Director and Chief Economist, Washington Center for Equitable Growth, Washington, DC, USA)

Abstract

Economic inequality has traditionally not been the center of mainstream macroeconomic thought. Rethinking whether and how today's high economic inequality – along all axes, not just income – affects economic growth and stability is an increasingly relevant and important field of inquiry. This paper investigates how economic research can inform the debate on the relationship between inequality and growth. I define the relationship between inequality and growth as well as briefly review the literature on their relationship. Then, I outline the channels through which inequality may affect growth. And finally, I address possible avenues for public policy going forward.

Suggested Citation

  • Heather Boushey, 2015. "Bringing inequality back in," European Journal of Economics and Economic Policies: Intervention, Edward Elgar Publishing, vol. 12(2), pages 183-189, September.
    • Handle: RePEc:elg:ejeepi:v:12:y:2015:i:2:p183-189
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    Citations

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    Cited by:

    1. Batuo, Michael E. & Kararach, George & Malki, Issam, 2022. "The dynamics of income inequality in Africa: An empirical investigation on the role of macroeconomic and institutional forces," World Development, Elsevier, vol. 157(C).

    More about this item

    Keywords

    inequality; economic growth; public policy;
    All these keywords.

    JEL classification:

    • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General
    • I24 - Health, Education, and Welfare - - Education - - - Education and Inequality
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution

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